Core Viewpoint - Warren Buffett expresses optimism about stock market declines, viewing them as opportunities for long-term investment rather than reasons for panic [2][10]. Group 1: Market Reaction - The stock market was projected to drop by approximately 3% due to fears surrounding the coronavirus pandemic [1]. - Buffett indicates that he prefers to buy stocks when prices are lower, likening it to buying food at a discount [2][9]. - He notes that historical market declines have often presented good buying opportunities, suggesting that investors should not be deterred by short-term fluctuations [10][12]. Group 2: Long-term Investment Perspective - Buffett emphasizes that stocks should be viewed as businesses, and investors should focus on the long-term outlook rather than daily market movements [5][14]. - He asserts that the 10 to 30-year outlook for American businesses remains unchanged despite current market conditions [5][14]. - The company plans to continue buying stocks as long-term investments, reinforcing the idea that short-term market news should not dictate investment decisions [11][14].

Core Insights - American Express reported fourth-quarter earnings per share of $3.53, aligning closely with the consensus forecast of $3.54, while revenue increased by 9% to $18.98 billion, slightly surpassing analyst expectations of $18.92 billion [1][2] Financial Performance - The revenue growth was attributed to higher Card Member spending, increased net interest income from growing revolving loan balances, and strong card fee revenue [2] - Credit loss provisions for the fourth quarter totaled $1.4 billion, an increase from $1.3 billion a year earlier, with the net write-off rate rising to 2.1% from 1.9% [4] - Total expenses increased by 10% year over year to $14.5 billion, primarily due to higher customer engagement costs and the U.S. Platinum Card refresh [4] Future Outlook - For 2026, American Express forecasts earnings per share in the range of $17.30 to $17.90, with the midpoint exceeding consensus estimates of $17.40, and projects revenue growth of 9% to 10% [2] - The company announced plans to increase its regular quarterly dividend by approximately 16% to $0.95 per share from $0.82, starting with the first-quarter 2026 payout [3]

Key Takeaways American Express Q4 EPS rose 16% year over year but missed estimates, while revenue grew 10% and beat.AXP saw higher customer engagement and operating costs, partly offset by stronger spending.American Express guides for 2026 revenue growth of 9-10% and EPS between $17.30-$17.90.American Express Company (AXP) reported fourth-quarter 2025 earnings per share (EPS) of $3.53, which missed the Zacks Consensus Estimate by 0.3%. However, the bottom line climbed 16% year over year.Total revenues, net ...

American Express (NYSE:AXP) stock is slipping today, brushing off the company's better-than-expected fourth-quarter revenue and 16% dividend increase, as investors focus on earnings of $3.04 per share that came in just below estimates. At last glance, the shares were down 3.1% at $347.33, dropping below the $350 level, which had been providing support for pullbacks this month. Now trading at its lowest level since Nov. 21, AXP is off 5% since the start of the year. Should these losses hold, it will be the s ...

Company Overview - Proactive is a financial news publisher that provides fast, accessible, informative, and actionable business and finance news content to a global investment audience [2] - The company operates with a team of experienced and qualified news journalists across key finance and investing hubs including London, New York, Toronto, Vancouver, Sydney, and Perth [2] Market Focus - Proactive specializes in medium and small-cap markets while also covering blue-chip companies, commodities, and broader investment stories [3] - The content delivered by the company includes insights across various sectors such as biotech and pharma, mining and natural resources, battery metals, oil and gas, crypto, and emerging digital and EV technologies [3] Technology Utilization - Proactive is recognized for its forward-looking approach and enthusiastic adoption of technology to enhance workflows [4] - The company employs automation and software tools, including generative AI, while ensuring that all content is edited and authored by humans to maintain quality and best practices in content production [5]

Key Takeaways As the S&P 500 and Nasdaq rose Tuesday, the Dow Jones Industrial Average fell 0.8%, dragged down by slumping UnitedHealth Group stock. UnitedHealth, one of the priciest stocks in the blue-chip Dow, tumbled nearly 20% Tuesday after reporting disappointing earnings. UnitedHealth stock shaved 422 points off the Dow, accounting for all of the index's 409-point decline on Tuesday. The Dow Jones Industrial Average missed out on a rally today thanks in large part to one very influential sto ...

Core Insights - Warren Buffett's 2022 annual letter highlighted Berkshire Hathaway's impressive performance, achieving a 3,787,464% gain since 1964, significantly outperforming the S&P 500's 24,708% gain [1] - Buffett emphasized two key investments, each with a $1.3 billion stake, which now yield annual dividends close to half of the initial investment, with expectations for further growth [2] Company Analysis - **Coca-Cola (NYSE: KO)** - Buffett's investment in Coca-Cola began in 1994, accumulating 400 million shares without any sales since then [3] - The annual dividends from Coca-Cola increased from $75 million in 1994 to $704 million in 2022, reflecting a substantial growth in dividend payouts [4] - The current yield on Coca-Cola shares stands at 2.8%, with Buffett's yield on cost reaching nearly 50% due to consistent dividend growth [4] - As of 2022, Coca-Cola's dividends have continued to rise, contributing $206 million annually to Berkshire, with expectations for a 64th consecutive annual dividend increase [5] - **American Express (NYSE: AXP)** - American Express, while not having as long a history of dividend increases as Coca-Cola, has seen its dividends rise significantly, with a 91% increase since Buffett's 2022 letter [6] - The dividend growth for American Express has been robust, with payouts increasing by 91% over the past three years [7]

Core Viewpoint - Warren Buffett has made significant changes to the Berkshire Hathaway portfolio, including a $4 billion sale of Apple Inc. shares to increase cash and Treasuries reserves [3]. Group 1: Portfolio Changes - Berkshire Hathaway sold approximately $4 billion in Apple Inc. shares to build a substantial cash and Treasuries reserve [3]. - Investors looking to replicate Buffett's trades through Berkshire's 13F filings should be aware that the information is limited and outdated [4]. Group 2: Investment Opportunities - Long-standing positions like The Coca-Cola Co. and Visa Inc. may be worth considering for investors as they approach the new year [4]. - Coca-Cola has a price-to-earnings (P/E) ratio of 23.8, which is at or below its levels from the past two years, despite some concerns about its valuation compared to alternatives [5]. - Coca-Cola's strong pricing power allows it to maintain cash flow during inflationary periods, and it reported a 4-cent earnings per share (EPS) beat in the last quarter [6]. - With 64 consecutive years of dividend increases and a yield of 2.89%, Coca-Cola remains a strong buy-and-hold candidate [7]. - Visa may have operational advantages over competitors due to potential credit card interest rate limits [7]. Group 3: Potential Risks - Bristol Myers Squibb has attractive qualities but faces near-term challenges from Medicaid changes and patent expirations [7].

Core Insights - The article emphasizes the importance of evaluating not only current financials but also the overall business models and future prospects of companies for long-term investment [2] Company Summaries Eli Lilly - Eli Lilly is recognized as a growth-oriented company, driven by innovation, particularly through its GLP-1 products, Mounjaro and Zepbound, which are currently generating strong results [5] - The company is actively pursuing further innovation, including the development of a GLP-1 pill and a promising weight loss treatment, retatrutide, which is in late-stage trials [5][6] - Eli Lilly has partnered with Nvidia to build a factory utilizing AI and supercomputing for drug discovery, showcasing its commitment to future growth [6] - The company also has a treatment for early Alzheimer's, Kisunla, which has the potential to be a blockbuster [7] - Despite a high valuation at over 50 times trailing earnings, the growth potential suggests that this multiple could decrease as the company expands [8] American Express - American Express is highlighted for its strong brand and clientele, making it a resilient financial stock suitable for long-term investment [8] Alphabet - Alphabet is noted for its diverse business operations, abundant growth opportunities, and substantial financial resources, positioning it as a likely growth leader in the foreseeable future [8]

Core Viewpoint - The transition of leadership at Berkshire Hathaway from Warren Buffett to Greg Abel marks a new era for the company, with Abel committed to maintaining Buffett's investment philosophy of concentrating capital in high-quality ideas [1][2]. Investment Portfolio Overview - Berkshire Hathaway's investment portfolio totals $317 billion, with a significant concentration in eight key stocks that represent 74% ($234.5 billion) of the portfolio [3]. Key Holdings - **Apple**: Represents 20.1% of invested assets; despite being the largest holding, it has seen a 74% reduction in shares over the last two years, indicating a shift in investment strategy [4][6]. - **American Express**: Accounts for 18.2% of invested assets; known for its dual role as a payment facilitator and lender, it has a strong position among affluent customers, making it resilient during economic downturns [7][9]. - **Bank of America**: Comprises 10.2% of invested assets; the position has been reduced by 45% over five quarters, reflecting concerns over interest rate sensitivity amid a rate-easing cycle [11][13]. - **Coca-Cola**: Holds 8.6% of invested assets; its long-standing presence in the portfolio since 1988 is supported by a strong dividend yield and global market presence [14][15]. - **Chevron**: Represents 6.3% of invested assets; its integrated business model allows for stable cash flow, and it has a robust capital-return program with projected buybacks of $10 billion to $20 billion annually through 2030 [16][18]. - **Moody's**: Accounts for 4.1% of invested assets; it has performed well due to its debt rating services and analytics, benefiting from low interest rates in recent years [20][21]. - **Occidental Petroleum**: Comprises 3.4% of invested assets; it has a unique focus on upstream operations and is working to reduce its net debt position [23][25]. - **Chubb**: Represents 3.1% of invested assets; it focuses on high-end property and casualty insurance, allowing for premium pricing power and attractive margins [27][29].