American Express Company (NYSE:AXP ) UBS Financial Services Conference February 10, 2025 10:30 AM ET Company Participants Christophe Le Caillec - Chief Financial Officer Conference Call Participants Erika Najarian - UBS Erika Najarian Hey, everybody. Thanks again for joining us.
Berkshire Hathaway (BRK.A -0.83%) (BRK.B -0.94%) has consistently outperformed the S&P 500 ever since Warren Buffett took full control of the struggling textile maker in 1965. Under Buffett, Berkshire shuttered its textile business and acquired cash-rich insurance companies to fund the expansion of its investment portfolio, eventually making large investments in dozens of stocks and exchange-traded funds (ETFs).
AXP has seen its earnings estimates for 2025 and 2026 move north over the past month.
One of Warren Buffett's long-held positions, American Express just delivered its fourth consecutive earnings beat.
One of the most famous Warren Buffett quotes comes from his 1988 letter to Berkshire Hathaway (BRK.A -0.86%) (BRK.B -0.87%) shareholders: "When we own portions of outstanding businesses with outstanding managements, our favorite holding period is forever."
Warren Buffett has gained the reputation of a buy-and-hold investor, but he has bought and sold many stocks over the years as CEO of Berkshire Hathaway. In 2024, for instance, he pulled a lot of money out of stocks Berkshire owned.
Berkshire Hathaway has compounded investor capital at a nearly 20% annual rate for decades. That wonderful gain is about double the yearly pace of the broader S&P 500.
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Warren Buffett's Berkshire Hathaway (BRK.A -0.04%) (BRK.B -0.15%) owns around $40 billion worth of American Express (AXP -0.56%) stock. American Express' market cap is around $220 billion, so Buffett is a very big shareholder.
Does American Express (AXP) have what it takes to be a top stock pick for momentum investors? Let's find out.
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There is a big difference, a massive one, between buying shares of stock as investors attempt to profit from their rising prices and seeking exposure to this underlying move by applying leverage. The most common form of leverage retail traders implement in their portfolios is margin, or borrowing money from their brokerages, which is often not the greatest choice.