American Express reported stronger-than-expected third-quarter earnings, driven by consistent spending from its cardholders, many of whom are holding balances. For the period ending September 30, the credit card giant earned $2.51 billion, or $3.49 per share, compared to $2.45 billion, or $3.30 per share, in the same period a year earlier.

American Express’ third-quarter profit topped analysts’ expectations as the credit card company’s cardholders continue to spend, with many holding a balance.

American Express Company shows strong performance but faces market challenges. Learn more about AXP stock and why I’m initiating coverage with a hold rating.