American Express shares tumble despite robust earnings, higher revenue outlook as rising costs weigh on sentiment

American Express shares fell 5.34% to $322.64 in New York despite reporting stronger-than-expected Q2 earnings with EPS of $4.53 versus the $4.40 estimate. Quarterly revenue rose 10% to $19.6 billion and the company raised its full-year revenue growth forecast to 10%, but rising operating costs of $14.5 billion (up 12% YoY) and higher marketing spend on customer acquisition weighed on investor sentiment.