American Express: Compound Grower Facing Expense Headwinds

Eoneren American Express's Business Model The business model at American Express (NYSE:AXP) is quite simple. Suppose I have a credit card account with American Express. If I go shopping and buy $100 worth of goods, about $2.20 of that is charged at the checkout line is "discount revenue" that goes to American Express, which is the same thing as a "swipe fee", while the other $97.80 is paid to the merchant. A fraction of that $2.20 goes back to me in the form of credit card rewards, if applicable. American E ...