In my last article about Microsoft Corporation ( MSFT ), I argued that the probabilities were shifting towards greater risk. While I didn’t see other Mag 7 stocks—like Meta Platforms, Inc. ( META ) orMy analysis is focused on high-quality companies, that can outperform the market over the long-run due to a competitive advantage (economic moat) and high levels of defensibility. Focused on European and North American companies, but without constraints regarding market capitalization (from large cap to small c ...

Shares of American Express (NYSE: AXP) might have dipped following its fourth-quarter 2025 (ended Dec. 31) financial results, but the numbers were encouraging. Revenue (net of interest expense) increased 10% year over year, and net income climbed 13%. These are encouraging trends. It's time to take a closer look at this business. Here are three things every investor in this financial stock needs to know. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stoc ...

Warren Buffett, who ended his legendary run as the CEO of Berkshire Hathaway at the end of last year, looked to buy and hold businesses that have economic moats. This term helps to explain durable competitive advantages that a company has that allow it to succeed over time. His philosophy worked extremely well. The tech sector is full of businesses that fit the criteria. After avoiding making bets in this sector, Buffett finally expanded his focus and bought Apple in early 2016. Berkshire also added Amazon ...

Core Insights - The analysis focuses on high-quality companies that can outperform the market over the long term due to competitive advantages and high levels of defensibility [1] Group 1: Investment Focus - The focus is on European and North American companies, without constraints regarding market capitalization, ranging from large cap to small cap [1] Group 2: Analyst Background - The analyst has an academic background in sociology, holding a Master's Degree in Sociology with an emphasis on organizational and economic sociology, and a Bachelor's Degree in Sociology and History [1]

During his time as CEO of Berkshire Hathaway, Warren Buffett directed capital allocation moves that propelled a 20% compound annual return. The Oracle of Omaha's success at managing the public equities portfolio was a big factor. Average investors should be looking at these holdings to find new ideas. Buffett is familiar with the restaurant sector, as Berkshire previously owned Restaurant Brands International. However, he never took a stake in Chipotle Mexican Grill (NYSE: CMG), a booming chain within the ...

Core Viewpoint - The analysis indicates an improved outlook for MSCI Inc. after a previously bearish stance, focusing on high-quality companies with competitive advantages and defensibility in the market [1]. Group 1: Company Analysis - MSCI Inc. is highlighted as a company that can outperform the market over the long term due to its economic moat and high levels of defensibility [1]. - The analysis emphasizes a focus on both European and North American companies, without constraints on market capitalization, ranging from large cap to small cap [1]. Group 2: Analyst Background - The analyst has a Master's Degree in Sociology with a focus on organizational and economic sociology, and a Bachelor's Degree in Sociology and History, providing a strong academic foundation for the analysis [1].

Core Insights - Costco Wholesale has seen its shares increase by 540% over the last decade, indicating strong long-term returns for investors [2] - The company's membership model has created a loyal customer base that values deals and convenience, often leading to higher total spending due to bulk purchases [2] Economic Context - As of 2026, U.S. consumers are facing budget constraints, a slowing job market, and economic uncertainty, particularly affecting middle-class families [3] - Despite a seemingly strong economy with inflation at 2.7% and GDP growth projected at 2.5%, the economic landscape is complex and requires careful analysis [4] Consumer Behavior - Consumer spending is primarily driven by higher-income shoppers, while middle- and lower-income groups are struggling, with rising home foreclosures and vehicle repossessions [5] - The average Costco shopper earns over $125,000 annually, indicating that this demographic has maintained spending power and prefers bulk buying for better value [6] Competitive Advantage - Costco's economic moat stems from its size and operational efficiency, allowing it to purchase products in large quantities and offer savings to consumers [7] - The retailer attracts customers with low-priced items, such as hot dog combos and rotisserie chicken, enhancing its appeal to frugal shoppers [7] - The company has a strong and expanding competitive moat, with customers willing to pay an annual fee for membership [8]

Group 1 - Sea Limited (SE) has significantly outperformed the S&P 500 and likely every global index over the last three years, despite a sharp decline in 2022 and the first half of 2023 [1] - The analysis emphasizes the importance of high-quality companies that can maintain a competitive advantage and high levels of defensibility for long-term market outperformance [1]

Core Insights - Warren Buffett's tenure as CEO of Berkshire Hathaway has concluded, but his investment in American Express remains significant for investors [1] - American Express shares have delivered a total return of 207% over the past five years, suggesting potential for retail investors to consider this financial stock [2] Company Overview - American Express is recognized for its strong economic moat, characterized by a premium brand in the card payments market, offering valuable perks and high annual fees that attract affluent customers [3] - The company connects 160 million merchant locations with 151 million active cards, creating a network effect that enhances the value of its ecosystem as it grows [4] - The competitive landscape appears favorable for American Express, with minimal threats from fintech innovations or traditional banking competitors [5] Financial Performance - American Express has demonstrated robust revenue and net income growth, with compound annual growth rates of 8.4% and 8.6% respectively from Q3 2015 to Q3 2025 [6] - The ongoing rise in spending activity and the shift towards noncash transactions are expected to support continued financial gains [6] Valuation Concerns - Despite the strong business fundamentals, the current valuation of American Express raises concerns, with a price-to-earnings ratio of 23.9, which is above its trailing five-year average [8] - The market sentiment remains optimistic about American Express, reflected in its premium valuation [8]

Core Insights - The analysis focuses on high-quality companies that can outperform the market over the long term due to competitive advantages and high defensibility [1] Group 1: Company Analysis - Zoetis Inc. (ZTS) was previously covered in October 2021, but the stock was not deemed attractive due to extremely high valuation multiples [1] - The analysis emphasizes a focus on companies in Europe and North America, without constraints on market capitalization, ranging from large cap to small cap [1] Group 2: Analyst Background - The analyst has a Master's Degree in Sociology with a focus on organizational and economic sociology, and a Bachelor's Degree in Sociology and History [1]