Which Financial Stock Would Hold Up Better in a Recession: PayPal or American Express?

American Express is better positioned to weather a recession than PayPal due to its stronger business model, affluent customer base, and natural resistance to economic downturns. While American Express benefits from higher interest rates and has a wider competitive moat, PayPal faces declining margins, slowing growth, and vulnerability to retail spending slowdowns. Analysts expect American Express to grow faster through 2028, making it the more resilient choice during economic uncertainty.