American Express (NYSE:AXP) shares gained more than 10% on Friday after the company reported its Q4 results and provided strong 2023 guidance. Q4 EPS came in at $2.07, worse than the Street estimate of $2.23. Revenue was $14.2 billion, compared to the Street estimate of $14.22 billion.
Revenue trends continued to reflect stronger year-over-year improvement with some moderation in growth as the pandemic recovery theme winds down. Meanwhile, expenses were higher but manageable. The company continued to build reserves through a higher provision. The credit normalization pace was controlled again.
The company provided its fiscal 2023 outlook, expecting EPS to be in the range of $11.00-$11.40, better than the Street estimate of $10.43.
American Express Shares Surge 10 percent Following Q4 Report