Berkshire Hathaway owns many different public equities, which combined make up its $328 billion portfolio. Among them, there's one standout business whose shares have performed particularly well recently. As of Feb. 9, this financial stock's price is up 180% in the past five years. By including the dividend, that figure is even higher at 198%. Here's what investors need to know about American Express (NYSE: AXP), which has been a pillar in the Oracle of Omaha's portfolio. Will AI create the world's first ...

American Express Company (NYSE:AXP) 2026 Conference Summary Company Overview - **Company**: American Express Company (AXP) - **Date of Conference**: February 10, 2026 - **Key Speaker**: Christophe Le Caillec, CFO Key Points Industry and Market Performance - **Consumer Spending**: Global spend growth remained strong at 7% to 8% throughout the year, with an uptick in the second half of 2025 [6][7] - **Travel and Entertainment**: Notable growth in travel and entertainment spending, particularly front-of-cabin travel at 9% and luxury lodging at 12% [6] - **Holiday Shopping**: Holiday shopping season saw a 9% increase, with Platinum card members spending up 12% [7] Financial Health - **Consumer Credit Metrics**: American Express reported very low write-off and delinquency rates, indicating a strong consumer balance sheet [7] - **Fee Performance**: The company has seen strong performance in fee income, particularly from premium products, which supports the business model [8] Card Acquisition and Strategy - **New Card Acquisitions**: There was a sequential decline in new cards acquired from Q3 to Q4 2025, but this was attributed to the non-linear nature of marketing programs [22][25] - **Focus on Fee-Paying Cards**: The strategy emphasizes acquiring fee-paying card members rather than maximizing the number of new cards [25] - **Average Fee Increase**: The average fee paid per account increased significantly due to high demand for premium products, particularly the Platinum Card [23][24] Product Development and Engagement - **Platinum Card Refresh**: The recent refresh of the Platinum Card has been more successful than previous refreshes of Gold and Delta cards, with strong demand and engagement metrics [29] - **Travel Bookings**: A 30% increase in travel bookings was reported, attributed to the new Platinum value proposition [32] - **Engagement Metrics**: High retention rates of 99% for consumer cards and 98% for small business cards were noted [31] International Growth - **International Market**: International growth is a major source of revenue, with a focus on premium products and younger demographics, particularly Gen Z and millennials [55] - **Market Share**: American Express holds about 6% market share in major international markets, indicating significant growth potential [56] Technology and Operational Efficiency - **Tech Investments**: The company plans to reach $5 billion in annual tech spend, focusing on AI and operational efficiencies [70] - **Operational Efficiency**: Operating expenses as a ratio to revenue decreased from 26% to 22% over three years, highlighting improved operational leverage [72] Valuation and Shareholder Returns - **Stock Buybacks**: The company is committed to returning capital to shareholders through stock buybacks, with a focus on maintaining a strong return on equity of 36% [86][87] - **EPS Growth Guidance**: American Express is guiding towards mid-teens EPS growth, supported by strong credit profiles and business momentum [86] Regulatory Environment - **Credit Card Competition Act**: The company maintains a neutral stance on the Credit Card Competition Act, indicating that it does not expect significant impacts on its business model [10][14] Additional Insights - **Consumer Behavior**: The company noted that younger consumers prefer digital interactions, with 63% of Gen Z interactions occurring online compared to only 13% for Baby Boomers [79] - **Lending Innovations**: The introduction of features like "Pay Over Time" has contributed significantly to balance growth, meeting the revolving needs of premium card members [48][52] This summary encapsulates the key insights and metrics discussed during the American Express conference, highlighting the company's strong performance, strategic focus on premium products, and commitment to shareholder value.

Average Spend per Account on U.S. Consumer Platinum vs. Blue Cash Everyday New accounts acquired represents the number of new Card Member accounts opened, and excludes supplemental cards issued on those accounts. Average Spend FY'25 ~10x U.S. Consumer Services New Acquisitions $164 $189 $179 $182 $179 $203 $196 $282 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 Q4'25 Average Fee per New Account Acquired Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 Q4'25 New Cards Acquired (M) 1.5 1.5 1.5 1.4 1.5 1.5 1.5 1.3 ...

Group 1 - Visa announced a $100 million loan initiative aimed at supporting small businesses, along with additional services such as digital payment acceptance tools, expense management software, marketing support, and fraud mitigation services [3][7] - American Express introduced a flexible payment option for newly approved Business Platinum and Gold cardholders in the UK, allowing them to pay over time with interest [4][5][7] - Both Visa and American Express emphasized their commitment to supporting small businesses, with Visa's regional president highlighting the integration of Visa's products and expertise to provide flexible financing solutions [3][7] Group 2 - Visa's new services became available on Thursday morning, indicating a prompt rollout of their small business support initiatives [4] - The new pay-over-time feature from American Express does not specify the interest rate that will be charged, leaving some details unclear for potential users [5]

2025 Business Results February 2026 Disclaimer 1. The consolidated financial information of KB Financial Group Inc. (the "Group") presented herein is based on the Korean International Financial Reporting Standards(K-IFRS). It is currently being audited by the Group's independent auditor, and accordingly, is subject to change. 2. The consolidated financial information for 2022 and 2023 presented herein have been restated retrospectively based on the FSS's response to inquiry on Korean IFRS17(K-IFRS) 3. From ...

Core Insights - American Express reported a 10% year-over-year increase in revenue and a 13% rise in net income for Q4 2025, indicating positive financial trends [1] Group 1: Brand and Network Effect - Berkshire Hathaway holds 22% of American Express shares, reflecting the company's strong economic moat [2] - American Express offers premium credit cards that attract affluent customers who value excellent service and rewards [3] - The company operates a robust transaction processing infrastructure with 153 million active cards and 160 million merchant locations, creating a powerful network effect [4] - The competitive position of American Express is expected to remain strong due to its high-quality business model [5] Group 2: Revenue Composition - In Q4, American Express generated $9.9 billion from merchants, accounting for about half of its revenue, and collected $2.6 billion from membership fees [6] - Only 24% of sales came from net interest income, reducing credit risk and cyclicality compared to industry peers [6] - The company's ability to attract higher-income customers supports a spend-centric model, with average card member spending exceeding $25,000 in 2025 [7] Group 3: Stock Performance and Valuation - American Express shares have delivered a total return of 641% over the past 10 years, driven by strong financial performance [8]

Core Insights - The article highlights the significant American companies that have shaped the nation's identity and economy as it approaches its 250th birthday, emphasizing their cultural and historical impact rather than just financial metrics [1][2]. Group 1: Visa - Visa was established in 1958 as BankAmericard, launching the first consumer credit card in the U.S. [3][6] - The company rebranded as Visa in 1976 and went public in 2008, currently holding a market cap of $632 billion [4][6]. - Visa operates in over 220 countries and territories, accepted at more than 175 million merchants [7]. Group 2: Meta (Facebook) - Facebook was founded in 2004 by Mark Zuckerberg and quickly grew to 1 billion users by 2012, later rebranding to Meta in 2021 [9][13][14]. - The platform has faced controversies regarding user data and misinformation but remains a dominant social media service with over 3 billion regular users [15]. Group 3: Boeing - Boeing, established in 1916, is a leading aerospace company known for producing commercial jets and military aircraft [15][16]. - The company has faced challenges in recent years, including safety allegations and COVID-19 impacts, but continues to be a major player in the industry with a market cap of $185 billion [20][21]. Group 4: Tesla - Tesla was founded in 2003, with Elon Musk joining in 2004, and has become synonymous with electric vehicles, launching the Model 3 in 2017 as the best-selling electric car [23][27]. - The company has a market cap of $1.4 trillion and is recognized for driving electric vehicles into the mainstream [28]. Group 5: Patagonia - Patagonia was founded in 1973 by Yvon Chouinard, known for its commitment to sustainability and donating 1% of sales to environmental causes [30][33]. - The company has expanded from climbing gear to a wide range of outdoor apparel and is estimated to have a market cap of $3 billion [33]. Group 6: Intel - Intel was founded in 1968 and became a leader in semiconductor technology, introducing the first programmable microprocessor in 1971 [34][35]. - The company has maintained a significant market presence, controlling approximately 75% of the CPU market as of 2025 [38]. Group 7: HP - HP was established in 1939, initially focusing on sound equipment and later becoming a leader in personal computers and printers [40][42]. - The company split into HP Inc. and Hewlett Packard Enterprises in 2015, with HP Inc. having a market cap of $18 billion [45]. Group 8: Nike - Nike was founded in 1964 as Blue Ribbon Sports and rebranded in 1971, becoming a dominant player in the sportswear market with a 14% share in 2024 [46][50]. - The company gained fame through its endorsement deal with Michael Jordan, significantly boosting its brand recognition [48]. Group 9: Kodak - Kodak was founded in 1888 and became a pioneer in photography, introducing innovations like roll film and the first digital camera [51][54]. - The company filed for bankruptcy in 2012 and now focuses primarily on commercial printing and imaging [56]. Group 10: IBM - IBM was established in 1911 and became synonymous with computing, initially focusing on tabulating machines and later dominating the PC market [59][62]. - The company has shifted its focus to consulting, software, and cloud computing, with a market cap of $291 billion [67]. Group 11: Paramount Pictures - Paramount Pictures, founded in 1912, is recognized as the longest-operating major studio in Hollywood, producing numerous iconic films [68][70]. - The studio has undergone various mergers and continues to be a significant player in the entertainment industry with a market cap of $12 billion [74]. Group 12: Netflix - Netflix was founded in 1997 as a DVD rental service and transitioned to streaming in 2007, becoming a leader in the industry [77][80]. - The company has a market cap of $351 billion and announced plans to acquire Warner Bros. Discovery in 2025 [81]. Group 13: FedEx - FedEx was founded in 1971, revolutionizing overnight delivery with a centralized hub model [83][84]. - The company has introduced several innovations in the shipping industry and has a market cap of $74 billion [88]. Group 14: Motown - Motown Records, established in 1959, played a crucial role in integrating Black artists into mainstream pop music [91][92]. - The label produced numerous hits and helped launch the careers of many iconic artists, although it faded in prominence during the 1970s [94][96]. Group 15: PepsiCo - PepsiCo was formed in 1965 through the merger of the Pepsi-Cola Company and Frito-Lay, becoming a leading global food and beverage brand [99][100]. - The company is known for its innovative marketing strategies and has a significant rivalry with Coca-Cola [101]. Group 16: Levi Strauss - Levi Strauss, founded in 1853, is known for creating the first riveted blue jeans, which have become a cultural staple [104][106]. - The company continues to sell a wide range of apparel and remains a significant player in the fashion industry [106]. Group 17: Microsoft - Microsoft was founded in 1975 and became a leader in software development, particularly with its Windows operating system [109][110]. - The company has expanded into gaming, cloud services, and AI, with a market cap of $7.8 billion [112]. Group 18: The Home Depot - The Home Depot was established in 1978, focusing on providing a wide range of building supplies and home improvement products [115][116]. - The company has a strong commitment to community initiatives, particularly supporting veterans, and has a market cap of $3.2 trillion [118]. Group 19: WK Kellogg Company - WK Kellogg Company was formed from the original Kellogg's brand, known for its iconic cereals and snacks [121][123]. - The company underwent a reorganization in 2023, with its cereal business spun off into a new entity [123].

Core Viewpoint - American Express Company (NYSE:AXP) has seen a 12% increase in share price over the past year, but a decline of 3.8% year-to-date, indicating mixed performance in the current market environment [2]. Group 1: Stock Performance and Analyst Ratings - American Express shares are up by 12% over the past year but down by 3.8% year-to-date [2]. - BTIG raised the price target for American Express from $307 to $328 while maintaining a Sell rating, based on spending data and deposit rates [2]. - JPMorgan increased the price target for American Express from $360 to $385, keeping a Neutral rating, influenced by President Trump's suggestion to cap credit card interest rates at 10% [2]. Group 2: Market Conditions and Future Outlook - BTIG noted stable credit conditions with no anticipated volatility in the near term [2]. - JPMorgan highlighted that the potential implementation of a cap on credit card interest rates could reshape the entire card industry, leading to lower profitability and reduced access to credit [2]. Group 3: Company Leadership and Consumer Appeal - The CEO of American Express, Steve Squeri, is recognized for his ability to attract younger consumers, particularly Gen Z [3]. - The popularity of American Express products, such as the black card, is noted among younger demographics [3].

Core Insights - American Express reported strong fourth-quarter performance, driven by retail, restaurants, and premium travel, with millennials and Gen Z now making up the largest share of U.S. consumer spending on its cards [1][4][3] Financial Performance - Fourth-quarter revenues increased by 10% to just under $19 billion, with total billed business rising 8% on a foreign-exchange adjusted basis [4] - Retail spending grew by 10%, luxury retail by 15%, and restaurant spending by 9%, with U.S. restaurant spending by U.S. consumer customers up more than 20% [4] - International markets contributed to growth, with spending up 12% FX-adjusted and transactions growing by 9% [5] Customer Demographics - The average age of new customers is 33 for the U.S. consumer Platinum card and 29 for the Gold card, indicating a long-term growth opportunity with younger customers [4] - Demand for premium products is reshaping the customer base, with younger card members carrying more spending weight [2][3] Business Segment Performance - Small business spending remained strong, while middle-market activity showed softness, consistent with broader industry trends [8][9] - American Express plans to expand digital tools and expense management capabilities for business customers, maintaining competitiveness in the small business and middle-market arena [9] Strategic Focus - The company is redirecting marketing efforts from lower-cost cash-back cards to fee-paying premium products, reflecting a multiyear strategy [5] - Travel bookings surged by 30% in the fourth quarter, attributed to the refresh of the Platinum card and increased cardholder engagement [7] Credit Performance - Delinquency and write-off rates remain below pre-pandemic levels, indicating strong portfolio quality [6] Future Outlook - American Express reaffirmed its revenue growth outlook for 2026, expecting growth of 9% to 10% [9]

Core Insights - American Express is focusing its marketing efforts on high-end products, particularly the refreshed Platinum card with an annual fee of $895, moving away from no-fee cash back cards [1][2] - This strategy aims to increase overall spending levels among affluent consumers, leading to higher fee revenue from premium cards and lower loan defaults [2] - The shift reflects the "K-shaped" U.S. economy, where wealthy consumers continue to spend while others cut back, with demand for luxury products and experiences accelerating [3] Spending Trends - Spending at luxury retailers increased by 15% in the quarter, while business and first-class airfare purchases rose by 9%, and luxury hotel spending was up by 12% [4] - Overall spending in the airline and lodging sectors grew by 3% and 5%, respectively, indicating that affluent cardmembers are significantly influencing these results [4]