Why I Love American Express Company
Its growth may not be as impressive as that of rivals Visa and MasterCard, but I'm still a big fan of American Express (NYSE: AXP) as a long-term investment -- for its strong growth, a rock-solid brand, and some of the most valuable and innovative credit card offerings in the market. Here's an overview of the reasons why investors may want to take a closer look at American Express.
At first glance, it may seem like "growth" is the wrong word to use when discussing American Express' business. After all, the company's net income fell by 33% over the past year.
However, keep in mind that American Express' earnings numbers from the second quarter of 2016 still included its exclusive Costco relationship, which no longer exists. Excluding the Costco relationship and the impact of foreign exchange fluctuations, the company's revenue grew 8% year over year on higher interest income and consumer spending. Total loans increased by 11% in the past year. Overall, AmEx's business is doing quite well.
Source: Fool.com
