Is American Express Built for the Next Decade of Spending?
Shares in the premium credit card business have crushed the overall market in the past 10 years.
Overview
American Express (NYSE: AXP) is undoubtedly the leader in the premium segment of the credit card market. It has registered durable growth, with net revenue rising at a compound annual rate of 8.8% in the past 10 years. The top line was lifted by billed business, the amount of payment volume the company handles, growing at a 5.4% yearly clip.
The market cares what American Express' performance will look like in the future. Is this financial stock built for the next decade of spending? Investors will struggle to find reasons to be bearish on this business.
Image source: The Motley Fool.
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Source
Originally published at www.fool.com.
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Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.