American Express CoSTU:AEC2.PFD 78 ROE % is 35.23% as of Mar. 2026, which is 10% above its 10-year median of 31.90. GuruFocus rates STU:AEC2.PFD with a GF Score™ of 78/100. The stock has 3 warning signs investors should review. Among 529 Credit Services companies, American Express Co ranks better than 94.33% on this metric.
The historical rank and industry rank for American Express Co's ROE % or its related term are showing as below:
STU:AEC2.PFD'
s ROE % Range Over the Past 10 Years
Min: 13.61 Med: 31.9 Max: 35.69
Current: 34.33
During the past 13 years, American Express Co's highest ROE % was 35.69%. The lowest was 13.61%. And the median was 31.90%.
STU:AEC2.PFD's ROE % is ranked better than 94.33% of 529
companies
in the Credit Services industry
Industry Median: 6.61
vs STU:AEC2.PFD: 34.33
American Express Co (STU:AEC2.PFD) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
American Express Co ROE % Related Terms
American Express Co ROE % Historical Data
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The historical data trend for American Express Co's ROE % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Credit Services subindustry, American Express Co's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
American Express Co ROE % vs Credit Services Industry
For the Credit Services industry and Financial Services sector, American Express Co's ROE % distribution charts can be found below:
* The bar in red indicates where American Express Co's ROE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
American Express Co (STU:AEC2.PFD) has a ROE % of 35.23% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on American Express Co and its competitors. This is 10% above median its historical median of 31.90. Over the past decade, American Express Co's ROE % has ranged from 13.61 to 35.69. According to the industry distribution chart, American Express Co ranks #30 out of 529 companies in the Credit Services industry, placing it in the top 5.7%.
Is American Express Co's ROE % too high?
American Express Co's current ROE % of 35.23% is 10% above median its 10-year median of 31.90. Over the past 10 years, this metric has ranged from a low of 13.61 to a high of 35.69. The Credit Services industry median ROE % is 6.61. American Express Co's value of 35.23% is 433% above this industry median. Based on the distribution chart, American Express Co ranks #30 out of 529 companies in the Credit Services industry, which is in the top quartile — a strong position relative to peers. Overall, American Express Co has a GF Score™ of 78/100, reflecting its overall financial health beyond just this single metric.
How does American Express Co's ROE % compare to COF and PYPL?
According to the Credit Services industry distribution chart, American Express Co ranks #30 out of 529 companies for ROE %. This places American Express Co in the top 6% of its industry — outperforming the majority of peers. The industry median ROE % is 6.61. American Express Co's value of 35.23% is 433% above this benchmark. Historically, American Express Co's own ROE % has ranged from 13.61 to 35.69 over the past decade. While the company's 10-year median is 31.90 vs. the industry median of 6.61, American Express Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Credit Services company?
The median ROE % among Credit Services companies is 6.61, based on 529 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. American Express Co's current ROE % of 35.23% is 433% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on American Express Co and its competitors. For the Credit Services industry, the median ROE % is 6.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. American Express Co's current ROE % is 35.23%, which is 10% above median its own 10-year median of 31.90. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Express Co stock overvalued right now?
American Express Co (STU:AEC2.PFD) has a current ROE % of 35.23%. The current ROE % is 35.23%, which is 10% above median its 10-year median of 31.90 and 433% above the Credit Services industry median of 6.61. American Express Co's overall GF Score™ is 78/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For American Express Co (STU:AEC2.PFD), the current ROE % is 35.23% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
American Express is a global financial institution, operating in about 130 countries, that provides consumers and businesses charge and credit card payment products. The company also operates a highly profitable merchant payment network. It operates in four segments: US consumer services, US commercial services, international card services, and global merchant and network services. In addition to payment products, the company's commercial business offers expense management tools, consulting services, and business loans.
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