AXP: American Express "Feel Good" about the US Consumer, Raises EPS Guidance

(NYSE:AXP) American Express Q2 FY24 Results

American Express has had a fruitful year, up ~33% at the time of the writing. While the consumer discretionary sector’s widely documented troubles continue, Amex’s second quarter saw the US consumer services business (its largest) grow by 6%. The segment continues to be propelled by the youth as the company’s generational cohorts pass the baton down the line. Last year, Millenials & Gen Z overtook Boomers in US billing. Six months later, Amex’s youngest cohort have taken another 100bps of total billing from Boomers and now accounts for 33%. In the fourth quarter of 2019, Millennials & Gen Z represented just 20% of US consumer billings. This is while each cohort has continued to grow.