Can SCPX sustain its EPS momentum into next year?

**American Express (AXP) is poised to sustain its EPS momentum into next year**, based on several key factors indicating strong business performance and growth potential: 1. **Consistent Revenue and EPS Growth**: AXP has demonstrated consistent revenue and EPS growth over the past years. For instance, the company reported a 9% increase in revenue and an 8% rise in net income in the third quarter of 2024 compared to the previous year. Similarly, the first-quarter revenue jumped by 11% to $15.8 billion, with EPS rising 39% to $3.33. |code|Ticker|Name|Date|Diluted EPS (FY) YoY|Diluted EPS (FY)|market_code| |---|---|---|---|---|---|---| |AXP|AXP.N|American Express|2020|-52.81602002503129|3.77|169| |AXP|AXP.N|American Express|2021|165.78249336870024|10.02|169| |AXP|AXP.N|American Express|2022|-1.696606786427145|9.85|169| |AXP|AXP.N|American Express|2023|13.807106598984783|11.21|169| |AXP|AXP.N|American Express|2024|24.977698483496866|14.01|169| 2. **Positive Business Trends**: The company's business momentum is reflected in the continued growth of Card Member spending, which increased by 7% on an FX-adjusted basis. New card acquisitions are accelerating, with 3.4 million new cards added in the first quarter. The demand for fee-based products and strong engagement with premium customers is also evident. 3. **Strategic Investments**: AXP's investments in value propositions, marketing, brand, and technology capabilities have driven high levels of engagement and growth. The company's product refresh strategy and focus on attracting high-spending, high-credit-quality customers are contributing to its sustained growth. 4. **Financial Guidance and Confidence**: AXP has reaffirmed its full-year 2024 revenue and EPS guidance, indicating confidence in its ability to continue growing EPS in the future. The company has also raised its full-year EPS guidance to $13.75 - $14.05, up from $13.30 - $13.80 previously, reflecting its optimistic outlook. 5. **Macro and Economic Factors**: The overall economic environment, including improvements in the macroeconomic outlook and strong credit performance, is supporting AXP's business growth. The company's best-in-class credit performance and disciplined expense management are key factors in sustaining its EPS momentum. In conclusion, American Express's strong financial performance, strategic investments, positive business trends, and optimistic guidance suggest that it is well-positioned to sustain its EPS momentum into next year.