SOURCE: Five Star Equities

Five Star Equities

November 06, 2012 08:20 ET

Credit Card Companies Benefitting From Increased Consumer Spending in September

Five Star Equities Provides Stock Research on American Express and Discover Financial Services

NEW YORK, NY--(Marketwire - Nov 6, 2012) - In the face of a slowing global economy credit card stocks have impressed investors with strong gains. Major companies such as Visa and MasterCard have surged recently after reporting financials that have topped analysts' estimates. Five Star Equities examines the outlook for companies in the Credit Services Industry and provides equity research on American Express Company (NYSE: AXP) and Discover Financial Services (NYSE: DFS).

Access to the full company reports can be found at:

www.FiveStarEquities.com/AXP

www.FiveStarEquities.com/DFS

Companies' profits were boosted by strong consumer spending in the U.S., which rose more than forecasted last month. Consumer spending in the U.S. saw its largest gain in six months with a 0.8 percent increase in September, while income rose 0.4 percent. According to Bloomberg economists had predicted a gain of 0.6 percent.

"In the U.S., we saw an improvement in consumer confidence, which resulted in an increase in consumer-spending growth, although that growth is slower than 2011 or the numbers we saw in the first half of 2012," MasterCard's CEO, Ajay Banga, said in a conference call. "Housing-related categories of retail spending continue to perform well, which I think points to the underlying improvement in the housing market."

Five Star Equities releases regular market updates on the Credit Services Industry so investors can stay ahead of the crowd and make the best investment decisions to maximize their returns. Take a few minutes to register with us free at www.FiveStarEquities.com and get exclusive access to our numerous stock reports and industry newsletters.

American Express reported for the third quarter of 2012 credit card spending in the U.S. increased 8 percent from a year ago, while spending increased 6 percent globally. "We generated solid results this quarter against the backdrop of a very uneven global economy," said Kenneth I. Chenault, chairman and CEO. American Express and Wal-Mart have recently launched a card-based account service.

Discover Financial Services is a direct banking and payment services company with one of the most recognized brands in U.S. financial services. For the third quarter of 2012 the company reported credit card loans grew 4 percent to $48.1 billion when compared to the year-ago quarter. The company in September was ordered by the Federal Deposit Insurance Corp. to pay $200 million to cardholders who were improperly sold credit protection.

Five Star Equities provides Market Research focused on equities that offer growth opportunities, value, and strong potential return. We strive to provide the most up-to-date market activities. We constantly create research reports and newsletters for our members. Five Star Equities has not been compensated by any of the above-mentioned companies. We act as an independent research portal and are aware that all investment entails inherent risks. Please view the full disclaimer at: www.FiveStarEquities.com/disclaimer

Contact Information