American Express (AXP 1.21%) is on a roll. As of Feb. 5, 2026, the financial services veteran's stock has gained 20% over the past six months, doubled over the past three years, and tripled over the past five years. These market-beating gains put it far ahead of archrivals Visa (V 0.87%) and Mastercard (MA 1.29%) in all three periods.
The company's focus on premium services and excellent customer service is paying off. But that's a history lesson, not an investment thesis. Can American Express keep outrunning its rivals and the S&P 500 (^GSPC 1.27%) in the next three years?
NYSE: AXP
Key Data Points
The new Platinum card is a hit, despite 29% higher fees
The recent Q4 2025 earnings call holds some clues.
American Express is leaning into a premium strategy, charging higher fees for more luxurious consumer services. In September 2025, the annual fee for American Express Platinum cards rose from $695 to $895, along with a refreshed set of card benefits.
Despite shaky consumer confidence ratings in 2025, the new Platinum card was an immediate hit. Retention rates didn't change, despite the higher fees and fairly modest initial incentives for new cardholders.
The fees provide incentives for people to use the card and earn the included credits. Together with the Platinum Travel experience planning phone app, the strong Platinum Card relaunch inspired a 30% year-over-year increase in travel bookings.
"It is a direct result of that Platinum launch and the engagement of our cardholders," CEO Stephen Squeri said.
Image source: Getty Images.
American Express has a flexible plan
The company doesn't set long-term financial goals. Instead, American Express operates according to five "core strategic pillars" while adjusting to ever-changing market conditions.
The premium services market is one of the five pillars, along with data-driven technology investments, international expansion, targeting small and medium-size business accounts, and refreshing existing products over time.
This flexible business plan is working wonders even in a difficult economy, and shareholders are enjoying strong returns. I think that will be true over the next three years, too. American Express is making the most of a luxurious niche.
