Core Insights - The article discusses affordable stock options for beginner investors, emphasizing the importance of fractional stock trading which allows investments starting from as little as $1 [1][2]. Financial Growth - Companies should demonstrate year-over-year revenue and net income growth to ensure market outperformance, while those with stagnant or declining growth typically underperform [2]. Company Summaries Alphabet (GOOG, GOOGL) - Alphabet's stock is approximately $170 per share, with a year-to-date increase of 21% and a 170% rise over the past five years [3]. - In Q2 2024, revenue grew by 14% year-over-year, and net income increased by 28.6% to $23.6 billion [3]. - The stock has a price-earnings ratio of 24.5 and a yield of 0.47%, with a potential upside of 23% according to analysts [3]. Walmart (WMT) - Walmart's stock trades at about $70 following a 3-for-1 stock split, with a year-to-date gain of 31% and an 85% increase over the past five years [4][5]. - Revenue for Q1 fiscal 2025 rose by 6% year-over-year to $161.5 billion, and adjusted EPS increased by 22.4% [5]. - Walmart has a cash reserve of $9.4 billion after a $1.1 billion stock buyback, making it a stable investment during economic downturns [5]. American Express (AXP) - American Express trades just below $250, with an 18 P/E ratio, the lowest among the listed stocks [6]. - The company reported 8% year-over-year revenue growth in Q2 FY24, reaching $16.33 billion, and net income surged by 39% to $3.02 billion [6][7]. - The full-year EPS guidance was raised to a range of $13.30-$13.80, with expected revenue growth of 9% to 11% for fiscal 2024 [6].

Industry Overview - The fintech industry is projected to maintain a compounded annual growth rate of 16.5% from now until 2032, indicating strong growth potential for investors [1] Company Summaries Nu Holdings (NU) - Nu Holdings is a Brazilian digital bank that recently surpassed 100 million customers, with shares up 53% year-to-date and a P/E ratio of 48 [2] - The company reported 69% year-over-year revenue growth in Q1 2024, with net income soaring by 167% year-over-year, resulting in a net profit margin of 13.8% [2] - Wall Street analysts suggest a 17% upside from current levels, with the highest price target indicating a potential 29% gain [2] Robinhood (HOOD) - Robinhood shares are up 71% year-to-date, driven by a 40% year-over-year revenue growth in Q1 [3][4] - Revenue from crypto transactions increased by 232% year-over-year, reaching $126 million, constituting over 20% of total revenue [4] - The company reported a net income of $157 million compared to a net loss of $511 million in the same period last year [4] American Express (AXP) - American Express reported Q2 2024 revenue of $16.3 billion, an 8% year-over-year increase, with net income growing 39% year-over-year to $3.02 billion [5][6] - The stock has increased by 31% year-to-date and offers a 1.14% yield, with a history of double-digit dividend growth [6] SoFi (SOFI) - SoFi reported a 37% year-over-year revenue increase in Q1, with profits of $88 million compared to a net loss of $34.4 million in the same period last year [7][8] - The company has 8.1 million active members, a 44% year-over-year improvement, and analysts suggest a potential 10% to 62% gain from current levels [8] Morningstar (MORN) - Morningstar shares are up 18% year-to-date, with a 57 P/E ratio and a recent 8% year-over-year dividend increase [9] - Q2 revenue increased by 13.3% year-over-year to $571.9 million, with diluted net income per share soaring by 90.5% year-over-year to $1.60 [9] Moody's (MCO) - Moody's shares are up 18% year-to-date, with a 44 P/E ratio and a 0.76% yield [10] - Q2 revenue increased by 22% year-over-year to $1.8 billion, with adjusted diluted EPS rising by 43% year-over-year to $3.28 [10][11] Visa (V) - Visa reported 10% year-over-year revenue growth in Q3 2024, with net income jumping 17% year-over-year to $4.9 million [12] - The stock is rated as a Strong Buy, with an average price target suggesting a 22% gain from current levels [12]

The Oracle of Omaha has long been a fan of this business.Berkshire Hathaway owns dozens of businesses in its public equities portfolio. However, there is extreme concentration among a handful of names at the top. The average investor is wise to look at these companies as a potential source of ideas.There's one top financial stock that has generated a total return of 102% in the past five years, and the Oracle of Omaha's conglomerate owns a sizable 21% stake in it. The momentum has continued recently, as sha ...

They share similar qualities that make them shine as Buffett stocks.Warren Buffett is a voice of stability and reason in a market that's often volatile and unreasonable. In the nearly 60 years he's headed Berkshire Hathaway, he's beaten the market by espousing steady and rational, if sometimes unconventional, investing strategies. Berkshire Hathaway has outperformed by a staggering margin: a 4,384,748% gain for Berkshire Hathaway versus 31,223% for the S&P 500 as of the end of 2023.Buffett doles out his inv ...

The financial technology or fintech sector looks promising this year. Fintech companies use technology to offer money management solutions. They try to make banking, investing, and borrowing easier, and their relevance has grown with technological advances. Several dividend-paying fintech stocks have emerged as strong industry players with solid upside momentum.The industry’s future looks bright, and a rate cut could help the stock rally. As we transition towards digital payments, these three companies are ...

Investing in the stock market results in solid long-term gains for many investors. While it’s easy to panic during economic downturns, people who held onto their shares usually benefit. The S&P 500 generated an annualized return of 11.6% over the past 40 years. Investors had to endure several corrections and crashes during that stretch, but the index has proven to be a good long-term investment. Many dividend growth stocks present a similar proposal. These companies have rising revenue and profits. Economic ...

Last week, American Express Company (AXP) reported strong second-quarter 2024 earnings, driven by increased card member spending, fee growth, rising net interest income, and a growing Gen-Z and Millennial customer base. Moreover, AmEx increased its 2024 earnings guidance, reflecting resiliency in its core business prospects despite a softer spending growth environment.Top of FormBefore delving into the underlying reasons for the improved outlook and addressing the critical question of how investors should s ...

American Express Company (AXP) reported second-quarter 2024 earnings per share (EPS) of $3.49, which beat the Zacks Consensus Estimate by 8.4%. The bottom line climbed 20.8% year over year.Total revenues net of interest expense amounted to $16.3 billion, which missed the Zacks Consensus Estimate by 1.5%. However, the top line improved 8.5% year over year in the quarter under review.The better-than-expected second-quarter 2024 earnings benefited from rising net interest income and growth in the customer base ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended June 30, 2024 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from ____ to ____ Commission file number 1-7657 AMERICAN EXPRESS COMPANY (Exact name of registrant as specified in its charter) New York 13-4922250 (State or ...

Financial Data and Key Metrics Changes - Revenue for Q2 2024 reached an all-time high of $16.3 billion, growing 9% year-over-year on an FX adjusted basis [15] - Net income was $3 billion, resulting in earnings per share (EPS) of $4.15, with EPS growth of 21% when excluding a gain of $0.66 from the sale of Accertify [15][16] - The company raised its full-year EPS guidance to a range of $13.30 to $13.80, up from $12.65 to $13.15 previously [8][28] Business Line Data and Key Metrics Changes - Billed business grew 6% year-over-year on an FX adjusted basis, with 6% growth in goods and services and 7% growth in travel and entertainment spending [16] - US consumer segment grew billings at 6%, with Millennials and Gen-Z spending increasing by 13% [17] - Commercial services saw overall growth of 2%, while international card services experienced a 13% increase [18] Market Data and Key Metrics Changes - The company reported stable spend growth across customer segments and categories, with strong growth in the number of transactions from card members, which grew 9% [16][18] - International spending growth remained robust, with double-digit growth across all regions [18] Company Strategy and Development Direction - The company plans to invest around $6 billion in marketing for the year, an increase of $800 million compared to last year, funded entirely from core business results [8][24] - Ongoing product innovations and enhancements to the membership model are key strategies, with approximately 40 product refreshes planned by year-end [12][60] - The company aims to maintain strong engagement with premium customers and continue attracting high-quality card members [9][13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to achieve mid-teens EPS growth even in a slower growth environment [27] - The outlook for credit performance remains strong, with expectations for stable write-off rates and a disciplined growth strategy focused on high credit quality customers [20][50] Other Important Information - The company returned $2.3 billion of capital to shareholders, including $1.8 billion in share repurchases, the highest level in over two years [26] - Operating expenses were down 13% year-over-year due to a gain from the sale of Accertify, with expectations for flat operating expenses for the year [24] Q&A Session Summary Question: Insights on US consumer and SMEs - Management noted a sequential decline in US consumer growth from 8% to 6%, influenced by Millennial and Gen-Z spending, which remains strong [31] Question: Revenue guidance for 2024 - Management reiterated the revenue guidance of 9% to 11%, indicating comfort within that range based on current performance [34] Question: Product refresh impact - Management highlighted that product refreshes enhance marketing effectiveness and provide more value to cardholders, contributing to future growth [38] Question: Marketing spend rationale - The increase in marketing spend is driven by identified opportunities rather than a response to competitor pullbacks, with a focus on acquiring more cardholders [42] Question: Credit quality outlook - Management expressed confidence in stable credit write-off rates for the remainder of the year, supported by strong customer health [50] Question: EPS guidance implications - Management clarified that the one-time gain from Accertify will not be included in future guidance, maintaining expectations for mid-teens EPS growth [52] Question: Digital banking investments - The company is focused on enhancing digital banking capabilities to engage more effectively with small businesses and consumers [55] Question: Product refreshes and net card fees - Management is optimistic about net card fee growth, supported by ongoing product refreshes and strong retention rates [59]