Amex Stock Dives 20% from All-Time High Amid Earnings Decline

American Express stock has dropped by 20% since its all-time high of $384.79 per share in December 2025, reaching a current price of around $310.

The company's revenue growth remains solid at 10% year over year in Q2, but earnings growth has declined to 11%, down from 18% growth in Q1 and 15% in Q4 2025.

American Express CEO Stephen Squeri explained that the decline in earnings is due to increased expenses for marketing and technology investments. The company raised its revenue guidance for the fiscal year to 10% growth, but maintained its earnings guidance, leading some investors to worry about higher spending for the rest of the year.

The stock's valuation has also been a contributing factor to this year's sell-off, with its price-to-earnings (P/E) ratio climbing to 25 at the end of 2025 and now down to 18, its lowest point in over a year.