(AOF) – Credit card issuer American Express is expected to rise thanks to better-than-expected annual targets. In the fourth quarter, the company reported net income up 23% to $1.93 billion, or $2.62 per share. Earnings per share came in below consensus at $2.64. Its revenues increased by 11% to $15.8 billion. American Express recorded provisions for loan losses up 40% to $1.437 billion.
This year, the company still expects earnings per share of between $12.65 and $13.15, compared to a consensus of $12.41. Revenues are expected to increase by 9% to 11%.
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Despite the turbulence, fintechs stay the course
According to BCG, in mid-2021, all listed fintechs in the world were valued on average twenty times their revenues, or a valuation of around $1.3 trillion. This figure had multiplied by more than four in three years. At the end of 2022, this multiple was divided by five, with average valuations limited to four times revenue. Nevertheless, BCG considers that the sector should record a jump in growth by 2030, with a six-fold increase in revenues for fintechs. After payments, development should mainly come from fintech banking, with the rise of turnkey services for businesses and professionals (“banking-as-a-service”).