AmEx to Cut 5% of Global Workforce, Takes Q3 Restructuring Charge
AXP is trading near its 52-week low of $290.967 (9.3% above the low).
Summary
CEO Stephen Squeri told analysts on the post-earnings call that AmEx will eliminate about 5% of its global workforce, with a $336 million restructuring charge booked in the third quarter. Squeri said the layoffs aim to reduce layers and speed up decision making. The disclosure came alongside record Q3 revenue of $20.1 billion, up 9%, and adjusted EPS of $4.68, up 13%, which drove the raised 2026 EPS outlook to $17.60-$17.90. A 5% headcount cut at a company this size is a real cost lever, but the charge is already in the reported quarter, so the question is how much of the savings flow into 2027 expenses. The stock's reaction will hinge on whether traders read this as margin discipline or as a sign that growth is slowing enough to require cuts.
At the time of this announcement, AXP was trading at $317.99 on NYSE in the Finance sector, with a market capitalization of approximately $219.6B. The 52-week trading range was $290.97 to $387.49. This news item was assessed with neutral market sentiment and an importance score of 7 out of 10. Source: Reuters.