Today is a happy one for investors in American Express (NYSE:AXP) stock. American Express just issued its second-quarter 2022 earnings results. As it turns out, despite fears of an imminent recession, cardholders are still engaged in robust spending. The company also lifted its revenue guidance for the full year in the report. Now, AXP stock is up 3% this morning.
For some companies, today isn’t a great earnings day. Specifically, Snap (NYSE:SNAP) and Twitter (NYSE:TWTR) disappointed Wall Street with their quarterly earnings. Snap’s subpar performance in particular seems to be dragging social media stocks down.
That doesn’t mean all of today’s earnings news is negative, however. American Express was expressly upbeat with its Q2 2022 results. For the period, card member spending was up 30% year-over-year (YOY) on a currency-adjusted basis.
American Express added 3.2 million new proprietary cards in Q2 as well. This increase was “driven by continued strong demand” for the company’s “premium products.”
What’s Happening With AXP Stock?
Traders are spending, too — or at least, they’re buying up AXP stock today.
It’s hard to blame investors for cheering on American Express’ quarterly results. After all, the company posted $13.4 billion in consolidated total revenues net of interest expense. That marks a 31% YOY improvement.
Not only that, American Express also reported net income of $2.57 per share, beating Wall Street’s forecast of $2.42. Interestingly, the company observed a “robust rebound in global Travel and Entertainment spending, which surpassed pre-pandemic levels for the first time in April.”
Even when faced with a potential recession ahead, it seems like American Express cardholders are undeterred. Today, financial companies like AXP are in the front seat while social media platforms are in the rear.
On the date of publication, David Moadel did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.