Key Takeaways
- American Express (AXP) reported a 30-day delinquency rate of 1.1% for its U.S. Consumer card portfolio in July 2026, remaining steady compared to previous months.
- The net write-off rate for U.S. Consumer cards rose to 1.7% in July, up from 1.4% in June, though the prior month's figure was artificially lowered by a portfolio sale.
- Total U.S. card balances held for investment reached $159.2 billion as of July 31, 2026, comprising $113.1 billion in consumer balances and $46.1 billion in small business balances.
- U.S. Small Business credit metrics showed slightly higher stress, with a 1.3% delinquency rate and a 2.6% net write-off rate for the month.
American Express (AXP) released its monthly credit performance data for July 2026 on Monday, highlighting the continued resilience of its premium borrower base. The company reported that 30-day delinquencies for its U.S. Consumer card portfolio held steady at 1.1%, a figure that has remained remarkably consistent throughout the second quarter and into the third.
The net write-off rate for U.S. Consumer principal reached 1.7% in July, representing a modest increase from the 1.4% reported in June. However, management noted that the June figure was positively impacted by approximately 0.3% due to the sale of previously written-off card balances to a third party. When adjusted for this one-time event, the underlying credit loss trend appears stable.
Segment Performance and Balances
The company's total U.S. card balances held for investment stood at $159.2 billion at the end of July. Within this total, the U.S. Consumer segment accounted for $113.1 billion, while the U.S. Small Business segment held $46.1 billion. The small business portfolio exhibited slightly higher credit risk, with a 30-day delinquency rate of 1.3% and a net write-off rate of 2.6%.
For the American Express Credit Account Master Trust, which tracks a narrower pool of revolve-eligible balances, the annualized default rate was 1.1% for the July period. The trust ended the month with a total principal balance of $24.9 billion, with only $0.2 billion in balances more than 30 days delinquent.
Market Context and Outlook
The latest credit data comes as American Express (AXP) continues to lean into its strategy of targeting high-net-worth individuals and premium millennial consumers. Despite broader economic concerns, the company has maintained a strong return on equity of 34% and recently reported trailing twelve-month revenue of over $70 billion.
Market analysts view these credit metrics as a sign of continued strength in the high-end consumer segment. While some competitors have seen rising delinquency rates as inflation pressures lower-income households, American Express (AXP)'s focus on affluent cardholders appears to be providing a significant buffer against credit deterioration. The stock opened Monday's session at $342.27, trading near its estimated fair value as investors digest the latest performance statistics.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.