American Express Company, together with its subsidiaries, operates as integrated payments company in the United States, Europe, the Middle East and Africa, the Asia Pacific, Australia, New Zealand, Latin America, Canada, the Caribbean, and Internationally. It operates through four segments: U.S. Consumer Services, Commercial Services, International Card Services, and Global Merchant and Network Services. The company's products and services include credit card, charge card, banking, and other payment and financing products; network services; expense management products and services; and travel and lifestyle services. It also provides merchant acquisition and processing, servicing and settlement, point-of-sale marketing, and information products and services for merchants; and fraud prevention services, as well as the design and operation of customer loyalty programs. In addition, the company operates lounges at airports under Centurion Lounge brand name. It sells its products and services to consumers, small businesses, mid-sized companies, and large corporations through mobile and online applications, affiliate marketing, customer referral programs, third-party service providers and business partners, direct mail, telephone, in-house sales teams, and direct response advertising. American Express Company was founded in 1850 and is headquartered in New York, New York.

American Express Company демонстрирует сильные результаты по ряду ключевых финансовых показателей, включая высокие значения ROE и ROA, что указывает на эффективность использования капитала. Тем не менее, компания имеет высокие мультипликаторы, такие как P/E и P/B, значительно превышающие медианные значения в отрасли, что может указывать на переоцененность. Долговая нагрузка также остается выше медианы, что создает дополнительные риски для инвесторов. Несмотря на это, рост выручки и чистой прибыли на протяжении последних лет говорит о стабильности бизнеса. Дивидендная доходность остается на умеренном уровне, что может привлечь инвесторов, ищущих доход. В целом, несмотря на некоторые негативные аспекты, такие как высокая задолженность и мультипликаторы, сильные операционные результаты и устойчивый рост доходов поддерживают положительный взгляд на компанию.

American Express Company

Key Points
Berkshire’s final big stock purchase under Buffett was Alphabet.
Alphabet is one of the few companies that can own and monetize AI globally.
Many investors followed Warren Buffett's stock purchases for Berkshire Hathaway (NYSE: BRKA) (NYSE: BRKB) for fresh investing ideas. Many of its top holdings -- including Apple, American Express, and Coca-Cola -- have been reliable long-term winners that easily withstood recessions and other macro headwinds.
Before stepping down as Berkshire's CEO at the end of 2025, Buffett approved one final major new investment for that portfolio: Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL). That investment was surprising because Buffett had avoided tech stocks for most of his career; he sold many of Berkshire's other top holdings in 2025, and Alphabet still faces macro and regulatory headwinds. However, I also believe it's a compelling long-term buy for one simple reason: AI.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Why is Alphabet the ultimate AI stock?
Alphabet, the parent company of Google, is one of the few companies that can both own and monetize AI at a global scale. By comparison, many AI companies have promising AI tech but lack clear distribution and monetization strategies. Others have massive distribution capabilities, but they're dependent on the AI algorithms and infrastructure of other companies.
Google doesn't have either problem. It's already a full-stack AI infrastructure company that produces its own chips (TPUs), large language model (Gemini), a cloud platform, and other apps. Its massive ecosystem -- including Google Search, YouTube, Android, and Chrome -- enables it to instantly distribute its new AI features to billions of users worldwide.
Therefore, AI isn't an existential threat to Google's core businesses. Instead, AI refines its search results, improves its targeted ads, and connects more businesses to its cloud infrastructure platform. It's also firmly profitable and generates most of its revenue from its higher-margin advertising business, so it can easily afford to expand its more capital-intensive cloud and AI features. Those strengths give it a much stronger foundation than other AI companies, and should make it a reliable stock to buy and hold as the market expands.
Why would Buffett consider Alphabet a worthy investment?
Berkshire purchased 17.8 million shares of Alphabet in the third quarter of 2025, when the stock had an average closing price of $209.06 per share. Today, the stock trades at more than $350.
From 2025 to 2028, analysts expect Alphabet's revenue and EPS to grow at CAGRs of 16% and 13%, respectively, as the cloud and AI boom continues. Its stock still looks reasonably valued at 26 times next year's earnings.
While Buffett hasn't publicly commented on Alphabet after Berkshire's big purchase, the tech giant's robust growth, wide moat, and attractive valuation make it comparable to many of the conglomerate's other top holdings. Therefore, it's still a great stock to buy and never sell.
Should you buy stock in Alphabet right now?
Before you buy stock in Alphabet, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Alphabet wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $497,606!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,306,846!*
Now, it’s worth noting Stock Advisor’s total average return is 985% — a market-crushing outperformance compared to 200% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of April 29, 2026.
American Express is an advertising partner of Motley Fool Money. Leo Sun has positions in Apple and Coca-Cola. The Motley Fool has positions in and recommends Alphabet, American Express, Apple, and Berkshire Hathaway. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

1 Reason I'd Buy Buffett's Final Favorite Stock And Never Sell

Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the SPDR Dow Jones Industrial Average ETF Trust (Symbol: DIA) where we have detected an approximate $835.4 million dollar outflow -- that's a 1.9% decrease week over week (from 89,342,867 to 87,642,867). Among the largest underlying components of DIA, in trading today Sherwin-Williams Co (Symbol: SHW) is off about 2%, American Express Co. (Symbol: AXP) is up about 0.5%, and Travelers Companies Inc (Symbol: TRV) is lower by about 1.8%. For a complete list of holdings, visit the DIA Holdings page » The chart below shows the one year price performance of DIA, versus its 200 day moving average:
Looking at the chart above, DIA's low point in its 52 week range is $397.41 per share, with $505.30 as the 52 week high point — that compares with a last trade of $489.80. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ».
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Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Also see:
Stocks Going Ex-Dividend
BNSO Split History
Cheap REIT Stocks
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Noteworthy ETF Outflows: DIA, SHW, AXP, TRV

Global Payments Inc. GPN is set to report first-quarter 2026 results on May 6, 2026, before the opening bell. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings is currently pegged at $2.84 per share on revenues of $2.83 billion.
The first-quarter earnings estimate witnessed no upward revision over the past 60 days against six downward movements. The bottom-line projection indicates a year-over-year increase of 0.7%. The Zacks Consensus Estimate for quarterly revenues implies year-over-year growth of 28.2%.
Image Source: Zacks Investment Research
For full-year 2026, the Zacks Consensus Estimate for Global Payments’ revenues is pegged at $12.42 billion, implying a rise of 33.3% year over year. The consensus mark for the current year EPS is pegged at $13.73, implying a jump of 12.4% on a year-over-year basis.
Global Payments’ earnings beat the consensus estimate in three of the last four quarters and met once, with an average surprise of 2%. This is depicted in the figure below.
Global Payments Inc. Price and EPS Surprise
Q1 Earnings Whispers for GPN
Our proven model does not conclusively predict an earnings beat for the company this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the odds of an earnings beat, but that is not the case here.
GPN has an Earnings ESP of -2.90% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
You can see the complete list of today’s Zacks #1 Rank stocks here.
What’s Likely to Shape GPN’s Q1 Results?
GPN’s first quarter results are expected to reflect the impact of the acquisition of Worldpay and the sale of Issuer Solutions Business. The transaction closed on Jan. 12, 2026. The Zacks Consensus Estimate for revenues from Europe operations is pegged at $526.2 million, which indicates a 101.5% year-over-year growth on a comparable basis. Similarly, the consensus mark for revenues from the Americas operations is pegged at $2.5 billion, signaling around 71% jump from a year ago.
The consensus estimate for revenuesfromAsia Pacific stands at $100.8 million, indicating 56.4% year-over-year growth. The above-mentioned estimates indicate that GPN is positioned for year-over-year growth. However, profit growth from the businesses is likely to have been partially offset by increased costs under certain heads.
For the to-be-reported quarter, we anticipate the adjusted cost of service to rise 40.5% year over year. We expect adjusted total operating costs to be around $1.7 billion in the quarter, a 34.4% increase from the year-ago level. We expect the Adjusted EBITDA margin to decline to 44.8% in the first quarter, from 47.9% a year ago.
How Are GPN’s Peers Placed This Quarter?
American Express Company AXP already reported first-quarter 2026 EPS of $4.28, which surpassed the Zacks Consensus Estimate by 6.2% and advanced 18% year over year. Total revenues, net of interest expense, improved 11% year over year to $18.9 billion. The quarterly results were driven by increased Card Member spending, higher net interest income and improved card fee growth. However, the upside was partly offset by AXP’s elevated operating expenses.
Visa Inc. V delivered second-quarter fiscal 2026 adjusted earnings of $3.31 per share, up 20% year over year and ahead of the Zacks Consensus Estimate by 7.1%. Its quarterly results benefited from resilient spending trends, higher cross-border volumes andsolid network activity, including a 9% year-over-year increase in payments volume on a constant-dollar basis.However, the upside was partly offset by Visa’s increased operating expenses.
Mastercard Incorporated MA is scheduled to report first-quarter 2026 results on April 30. The Zacks Consensus Estimate for adjusted earnings is pegged at $4.40 per share, indicating 18% year-over-year growth. The same for revenues is pegged at $8.29 billion, signaling a 14.4% increase. Mastercard beat earnings estimates in each of the past four quarters with an average surprise of 5.5%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

What's Behind GPN's Q1 Expectations: Will Cost Trends Worry Investors?

Visa Inc. V delivered second-quarter fiscal 2026 adjusted earnings of $3.31 per share, up 20% year over year and ahead of the Zacks Consensus Estimate by 7.1%. Net revenues came in at $11.23 billion, rising 17% year over year and topping the consensus mark by 5.1%.
The strong quarterly results reflected resilient spending trends, higher cross-border volumes andsolid network activity, including a 9% year-over-year increase in payments volume on a constant-dollar basis. However, the upside was partly offset by increased operating expenses.
Visa Inc. Price, Consensus and EPS Surprise
Visa’s Q2 Highlights
On a constant-dollar basis, cross-border volume increased 12% year over year, reflecting steady travel and e-commerce activity. Excluding transactions within Europe, cross-border volume rose 11% in constant dollars.
Network throughput also improved. Total processed transactions were 66.1 billion for the March quarter, marking a 9% year-over-year increase.
Adjusted operating expenses were $3.6 billion, up 17% year over year and in line with our model estimate. Higher personnel costs of $1.8 billion and marketing expenses of $545 million were notable contributors, alongside general and administrative expenses of $450 million. The litigation provision totaled $329 million in the quarter, down sharply from $1 billion a year ago.
V’s Segment Performance
Service revenues increased 13% year over year to $4.98 billion and beat our model estimate of $4.92 billion, supported by expanding payment volumes. Data processing revenue climbed 18% to $5.54 billion and beat our estimate of $5.36 billion, pointing to healthy growth in transactions processed across Visa’s network.
International transaction revenues rose 10% to $3.63 billion and beat our model estimate of $3.56 billion, while other revenue advanced 41% to $1.32 billion, beating our estimate of $1.14 billion. Offsetting a portion of these gains, client incentives, recorded as a contra-revenue item, increased 14% to $4.25 billion. It came a bit lower than our estimate of $4.27 billion.
Visa Returns Capital Aggressively
Visa continued to emphasize shareholder returns. During the quarter, the company repurchased $7.9 billion of class A shares and paid $1.3 billion in dividends, totaling $9.2 billion returned to shareholders. The company had leftover authorized funds of $13.2 billion under its repurchase program as of March 31, 2026. The board also authorized a new $20 billion multi-year share repurchase program in April.
Cash generation remained solid. Free cash flow was $2.6 billion in the quarter, after $383 million of capital expenditures. Visa ended March 31, 2026, with $14.2 billion in cash, cash equivalents and investment securities. Its long-term debt amounted to $22.4 billion, up from $19.6 billion at fiscal 2025-end. Current maturities of debt were at $1.6 billion.
V Outlines Strong Growth Targets Ahead
For the third quarter of fiscal 2026, Visa expects adjusted net revenue growth in the high-end of low-double-digit range and operating expense growth in the mid-teens, while projecting adjusted earnings per share growth in the high-single-digit range.
For fiscal 2026, the company anticipates adjusted net revenue growth in the low-teens range and operating expense growth in the mid-teens range. Adjusted earnings per share are expected to grow in the mid-teens.
Visa currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
How Are Visa’s Peers Placed This Quarter?
Major rival Mastercard Incorporated MA is scheduled to report first-quarter 2026 results on April 30. The Zacks Consensus Estimate for adjusted earnings is pegged at $4.40 per share, indicating 18% year-over-year growth. The same for revenues is pegged at $8.29 billion, signaling a 14.4% increase. Mastercard beat earnings estimates in each of the past four quarters with an average surprise of 5.5%.
American Express Company AXP reported first-quarter 2026 EPS of $4.28, which surpassed the Zacks Consensus Estimate by 6.2% and advanced 18% year over year. Total revenues, net of interest expense, improved 11% year over year to $18.9 billion. The quarterly results were driven by increased Card Member spending, higher net interest income and improved card fee growth. However, the upside was partly offset by elevated operating expenses.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.9% per year. So be sure to give these hand picked 7 your immediate attention.
See them now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Visa Q2 Earnings Beat Estimates on Payment Volume Strength

Key Points
Berkshire Hathaway's portfolio remains heavily concentrated in Apple, American Express, and Coca-Cola.
All three are wonderful businesses that generate predictable cash flow.
However, each brings something different to the table for Berkshire.
Berkshire Hathaway (NYSE: BRKA) (NYSE: BRKB) is now nearly four months into the Greg Abel era. It shouldn't be surprising that it still feels quite similar to the Warren Buffett era -- and not just because the legendary investor still comes into the office every day.
The philosophy that Buffett instilled for decades continues to guide Berkshire Hathaway under Abel's leadership. That's why more than 50% of the conglomerate's portfolio remains invested in three "forever" stocks that Buffett loves: Apple (NASDAQ: AAPL), American Express (NYSE: AXP), and The Coca-Cola Company (NYSE: KO).
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Wonderful businesses
What are the common denominators shared by Apple, American Express, and Coca-Cola? They're all what Buffett would call "wonderful businesses." In his 2023 letter to Berkshire Hathaway shareholders, he used the phrase "wonderful businesses" in a discussion of Amex and Coca-Cola. Buffett has also called Apple "probably the best business I know in the world."
But what makes these three companies so wonderful? Three qualities stand out, in my opinion.
Most importantly for Abel and Buffett, Apple, American Express, and Coca-Cola generate predictable cash flows. If I could point to a single reason why these three stocks make up over half of Berkshire's portfolio, this would be it.
Second, these three companies boast dominant brands. Apple has ranked among the world's most valuable brands for several years. Amex topped J.D. Power's Small Business Credit Card Satisfaction Study for five consecutive years, a testament to its brand strength. Coca-Cola has consistently placed among the world's most well-known and valuable brands.
Third, they all have strong pricing power stemming from their customer relationships. Apple has a phenomenally loyal customer base. American Express caters largely to affluent customers who can afford to pay higher prices. Coca-Cola's beverages are woven into the lives of many consumers. Buffett famously said several years ago that he drank five cans of Coke each day. It's not known if Abel is as much of a Coca-Cola connoisseur as the "Oracle of Omaha," but many people across the world are.
These qualities are especially important when inflation is a concern and economic uncertainty prevails. That's the environment in which Abel has received the baton from Buffett. He wants inflation-resilient investments in Berkshire's portfolio. Apple, Amex, and Coca-Cola fit the bill.
Different angles with these forever stocks
While Apple, American Express, and Coca-Cola share some things in common, there are different angles with these forever stocks that likely appeal to both Abel and Buffett.
Apple remains Berkshire's largest holding despite significant trimming over the last couple of years. Buffett acknowledged in an interview with CNBC's Becky Quick in March 2026, "I sold it too soon." He still believes that Apple is better than any of the businesses that Berkshire owns. However, Buffett added, "I was not happy to have it be as large as almost everything else combined."
The key thing that Apple brings to the table is its remarkable ecosystem. Consumers love the company's devices. Apple leverages this strength by offering services and ancillary products that further lock in customers.
American Express is Berkshire's largest equity holding in the financial sector. In his 2023 shareholder letter, Buffett mentioned "the need for unquestioned financial trust" as one of the "timeless essentials of our world."
Interestingly, he also described the consumption of Coca-Cola's beverages as one of those timeless essentials. Coca-Cola is Berkshire's longest-held position. It pays attractive dividends that continue to grow: Coca-Cola is a member of the Dividend Kings, an elite group of stocks that have increased their dividends for at least 50 consecutive years. Coke's streak of dividend hikes is now 64 years in a row.
Some things don't change
Although Buffett initiated the investments in Apple, American Express, and Coca-Cola, Abel seems just as committed to the three stocks. He wrote in his first letter to Berkshire Hathaway shareholders that they are "businesses we understand well, have a high regard for their leaders, and expect will compound over decades."
Abel told shareholders to expect Berkshire's concentrated positions to continue. He said that there will be "limited activity in these holdings, though we may significantly adjust a holding if we see fundamental changes in its long term economic prospects."
Buffett's investment approach remains front and center at Berkshire Hathaway, with Abel at the helm. This continuity, exemplified by the large holdings in Apple, American Express, and Coca-Cola, should reassure Berkshire's shareholders.
Should you buy stock in Apple right now?
Before you buy stock in Apple, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Apple wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $492,752!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,327,935!*
Now, it’s worth noting Stock Advisor’s total average return is 991% — a market-crushing outperformance compared to 201% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of April 29, 2026.
American Express is an advertising partner of Motley Fool Money. Keith Speights has positions in Apple and Berkshire Hathaway. The Motley Fool has positions in and recommends American Express, Apple, and Berkshire Hathaway. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Greg Abel Has Over 50% of Berkshire Hathaway's Stock Portfolio Invested in 3 Forever Stocks

Key Points
American Express' elite cards and rewards program attract an affluent and resilient consumer who is still spending.
The company is investing in technology as agentic AI becomes the future of shopping.
The market wasn't happy with the company's update despite a stellar report.
Investors who have been in the market for years or decades know to take market pullbacks in stride. But new investors could find market volatility panic-inducing. It's a great opportunity for beginner investors who might be all-in on artificial intelligence (AI) and hot tech stocks to take a step back and make sure they have some solid blue chip stocks in their portfolios that can withstand market ups and downs.
American Express (NYSE: AXP) has demonstrated quiet strength over the past few years, deftly managing through rough economic volatility, as it has done for decades. Plus, it's trading at a great price today, making it an excellent value candidate.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
The exclusive-membership model
American Express (Amex, for short) has changed over the years to meet shifting trends, but its core model of offering high-value credit cards for an annual membership fee has endured over time. It targets an affluent customer base interested in paying the annual fee to access the rewards the company offers in many forms, including shopping, entertainment, and -- increasingly -- sports. Its target clientele is more resilient than the mass audience, driving higher growth in spending quarter after quarter.
The 2026 first quarter was another stellar performance. Revenue increased 11% year over year, surpassing management's 10% target, and earnings per share (EPS) were up 18% to $4.28. Luxury spending is outpacing regular spending, up 18% year over year versus 10% overall.
Amex is achieving its goal of attracting a younger cohort of consumers who are growing along with the company, with high retention rates and higher spending over time. About 66% of the 3.1 million new cardholders in the first quarter were millennials and Gen-Zers, and 73% held fee-based cards.
It made a major card refresh last year, including higher fees, but the consumer base remains loyal, and new member acquisition remains strong. Chief Financial Officer Christophe Le Caillec said that an increase in spending on the signature platinum card isn't just coming from new customers, but predominantly from existing consumers.
Investing for the future
Amex has remained successful over time by embracing new trends and technology and integrating them into what it does best. It recently released its Agentic Commerce Experience developer kit to allow selected partners to integrate its payments capabilities directly into their platforms. However, it's focused on creating security protocols to protect its customers and maintain its best-in-class credit metrics.
Management is also cementing new deals with partners in all areas to reinforce its top rewards program, and it has seen particular success with its collection of fine hotels and resorts. Customer spending in this high-end category increased 50% year over year, compared to 5% growth in overall U.S. consumer lodging sales. It recently accepted 300 new properties into the program out of 1,400 applications.
Priced to buy
After the outstanding results were released, you might imagine that the stock jumped. It didn't. The market homed in on management's update that instead of raising the full-year outlook based on its outperformance, it was going to plow extra earnings into developing the business.
The market also might be concerned about the company's travel segment as oil prices rise, even though management said it wasn't worried. Travel and entertainment are a major portion of consumer spending.
These are short-term concerns, but they create a buying opportunity for investors. Amex fell after the report and is down 15% year to date. At the current price, it trades at a price-to-earnings ratio (P/E) under 20, which is an excellent entry point for investors.
American Express is one of Warren Buffett's favorite stocks. Instead of stepping back as it dips, investors should follow his lead and pounce on a blue chip bargain.
Should you buy stock in American Express right now?
Before you buy stock in American Express, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and American Express wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $492,752!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,327,935!*
Now, it’s worth noting Stock Advisor’s total average return is 991% — a market-crushing outperformance compared to 201% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of April 28, 2026.
American Express is an advertising partner of Motley Fool Money. Jennifer Saibil has positions in American Express. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The Best Blue Chip Stock to Buy After This Year's Market Pullback

Payments giant Mastercard Incorporated MA is set to report first-quarter 2026 results on April 30, 2026, before the opening bell. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings is currently pegged at $4.40 per shareon revenues of $8.29 billion.
The first-quarter earnings estimate witnessed two upward revisions and one downward movement over the past 60 days. The bottom-line projection indicates an increase of 18% from the year-ago reported number. The Zacks Consensus Estimate for quarterly revenues suggests year-over-year growth of 14.4%.
Image Source: Zacks Investment Research
For full-year 2026, the Zacks Consensus Estimate for Mastercard’s revenues is pegged at $36.95 billion, implying a rise of 12.7% year over year. Also, the consensus mark for 2026 earnings per share is pegged at $19.52, implying a jump of 14.8% on a year-over-year basis.
Mastercardhas a robust history of surpassing earnings estimates, beating the consensus estimate in each of the last four quarters, with the average surprise being 5.5%. This is depicted in the figure below.
Mastercard Incorporated Price and EPS Surprise
Q1 Earnings Whispers for Mastercard
Our proven model predicts a likely earnings beat for the company this time around as well. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That is precisely the case here.
MA has an Earnings ESP of +0.40% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
You can see the complete list of today’s Zacks #1 Rank stocks here.
What’s Shaping Mastercard’s Q1 Results?
The Zacks Consensus Estimate for the company’s total Gross Dollar Volume (GDV) for all MA-branded programs suggests a 9.6% rise from the prior-year quarter’s reported figure, whereas our model estimate predicts 8.4% growth. We expect GDV from domestic operations to increase 10.1% year over year and 9.5% from European operations.
Switched transactions are expected to have experienced an upsurge, driven by resilient consumer spending and increased contactless acceptance initiatives pursued by the company. The Zacks Consensus Estimate for its switched transactions indicates a 10.1% rise from the prior-year quarter’s reported figure. Other companies like Visa Inc. V and American Express Company AXP also have benefited from resilient spending in the March quarter.
Increasing cross-border travel is expected to have had a positive impact on Mastercard's cross-border volumes. As such, the consensus estimate for cross-border assessments suggests an increase of 14.4% compared with the previous year. Further, the consensus mark implies domestic assessments and transaction processing assessments to witness an 8.5% and 13.3% year-over-year increase, respectively.
The Zacks Consensus Estimate for Value-added Services and Solutions net revenues indicates 21.2% year-over-year growth, while our model estimate suggests 20.3% increase in the first quarter. Growing demand for its consulting and marketing services and loyalty solutions is likely to have driven this metric.
The above-mentioned factors are expected to have positioned the company not only for year-over-year growth but also for a likely earnings beat. The positives are expected to have been partially offset by rising expenses, rebates and incentives.
Mastercard’s adjusted operating costs are likely to have increased in the first quarter due to higher G&A costs and Advertising & Marketing expenses. We expect total adjusted operating expenses to rise more than 11% from the prior-year quarter’s actuals. Furthermore, our estimate for payments network rebates and incentives suggests a 19.1% year-over-year increase.
Mastercard’s Price Performance & Valuation
Over the year-to-date period, Mastercard has declined 10.1%, while Visa has fallen 10.9%, and American Express has slipped 13.6%. All of these stocks outperformed the industry’s 16.6% decline. Meanwhile, the S&P 500 Index grew 5%.
YTD Price Performance – MA, V, AXP, Industry & S&P 500
Image Source: Zacks Investment Research
Now, let’s look at the value Mastercardoffers investors at current levels.
The company’s valuation looks stretched compared with the industry average, despite the declines. Currently, Mastercardis trading at 24.72X forward 12-month earnings, above the industry’s 16.52X. In comparison, both Visa and American Express offer better value at the moment, trading at a forward P/E of 22.41X and 17.33X.
Image Source: Zacks Investment Research
How Should You Play Mastercard Ahead of Q1 Earnings?
Mastercard remains a best-in-class payments juggernaut with a $451.64 billion market cap, backed by resilient consumer spending trends and strong long-term growth tailwinds. However, the payments ecosystem is evolving rapidly as real-time rails, stablecoins, blockchain-based settlement and AI-driven agentic commerce create new transaction pathways that could gradually bypass traditional card networks.
Mastercard is actively adapting by expanding into stablecoin-linked payments, tokenized settlement and cross-border infrastructure, highlighted by its MoonPay partnership and the planned $1.8 billionBVNK acquisition. It is also building capabilities in AI commerce through its Agent Suite and agentic protocol.
Meanwhile, its fast-growing value-added services business continues to provide a powerful earnings lever. Still, rising regulatory and legal scrutiny over interchange fees in key markets, coupled with elevated rebates, incentives and operating costs, remains a near-term risk. With valuation still stretched versus the industry and earnings approaching, Mastercard looks best suited for a hold, with investors likely better off waiting for a more attractive entry point.
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Mastercard Before Q1 Earnings: A Smart Bet or an Expensive Checkout?

Key Points
The Oracle of Omaha’s legendary investing track record is a direct result of his intense focus on valuation.
American Express doesn’t exactly provide prospective shareholders with a margin of safety right now.
But its robust brand and powerful network effects indicate a durable competitive position for the business.
Berkshire Hathaway's public equities portfolio contains dozens of stocks. But a leading payments enterprise is one of the top holdings -- and its shares have generated a fantastic total return of 131% in the past five years (as of April 24).
All companies face threats that investors should be mindful of in their stock selection process. When it comes to this financial stock, however, the biggest risk might be something you're probably not even thinking about at the moment.
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Don't neglect a key variable in the investment process
Warren Buffett became a legendary investor by focusing intensely on the prices he paid when buying businesses. As a value investor, the Oracle of Omaha tries to purchase stocks at less than his estimate of their intrinsic worth.
Applying this same thinking to American Express (NYSE: AXP), the conglomerate's second-largest position, and investors probably aren't paying attention to its valuation as much as they should. Right now, American Express trades at a price-to-earnings (P/E) ratio of 19.6.
While it has come down 24% in the past four months, the multiple is in line with the credit card giant's trailing three-, five-, and 10-year averages. This isn't expensive, to be clear. It's also not a bargain, however.
One of Buffett's core philosophies is buying a stock only when there's a margin of safety present. If American Express traded at a P/E ratio around 15, for instance, it would be cheap enough to provide a downside buffer should any unforeseen adverse developments occur. At the current P/E multiple of 20, this might not be the case.
This is unquestionably a wonderful business
If valuation is the biggest risk factor to consider, then it means that American Express is an outstanding company. After looking at this business, any rational investor would have the same takeaway. And with Warren Buffett owning 22.1% of the company's outstanding shares, there's no denying this argument.
The latest financial results reveal a business performing at a high level, even though the economy is characterized by heightened levels of uncertainty from the Iran war, inflationary pressures, and worries about disruption from artificial intelligence. Net revenue and diluted earnings per share increased 11% and 18%, respectively, year over year in Q1 (ended March 31).
American Express' premium brand attracts an affluent clientele, supporting durable spending activity. And the network effect underpinning the payments platform, connecting merchants and card members, makes the ecosystem better over time. Nothing indicates that this competitive positioning is weakening.
This financial stock is trading 18% below its record. The opportunity that the market is giving investors right now outweighs the valuation risk mentioned. I think it's a good idea for investors to think about buying shares.
Should you buy stock in American Express right now?
Before you buy stock in American Express, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and American Express wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $492,752!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,327,935!*
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American Express is an advertising partner of Motley Fool Money. Neil Patel has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Berkshire Hathaway. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The Single Biggest Risk With Investing in This Top Warren Buffett Stock Is Something Investors Probably Aren't Even Thinking About

Key Points
American Express delivered double-digit growth on its top and bottom lines last quarter.
Spending on luxury items was particularly strong.
The company's CEO believes that's a sign that its cardholders aren't worried about rising gas prices.
Oil prices have soared this year to levels not seen since 2022, when inflation was a major concern for the economy. It was also a troubling time for the markets as a whole, with the S&P 500 falling by more than 19% that year.
There are some types of businesses that can do well amid economic challenges, however. One company that believes it may be resilient, even amid high oil prices, is American Express (NYSE: AXP). The credit card issuer caters to an affluent customer base, and that has enabled the business to perform well over the years. And the CEO points to the company's latest quarterly results as evidence of why it can continue to do well.
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Spending on high-ticket items remains strong
On April 23, American Express reported its first-quarter results for 2026, which showed strong growth on its top and bottom lines. Its revenue net of interest expense rose by 11% to $18.9 billion, and net income of just under $3 billion rose by 15% year over year.
CEO Stephen Squeri pointed to specific categories as good examples of its resilience, including an 18% growth rate in retail luxury and 12% higher spend on premium airline cabins. Squeri also said travel bookings were at record levels. He says that based on the data, it appears evident that Amex's cardholders "don't care about gas prices."
The counterpoint to that would be that the impact of higher oil prices may be just starting to creep into the prices of everyday goods and travel, and thus, it may be a bit early to definitively say that Amex can remain resilient. There have, after all, been reports of higher-income shoppers spending more money at Walmart this year in an effort to stretch their budgets.
Can Amex be a safe growth stock to add to your portfolio?
Amex's business may be safer than that of your average growth stock, but that doesn't mean that its consumers will be immune to the effects of rising oil prices forever. The big test will come as the year goes on, if oil prices remain high and Amex's growth rate continues to be strong. For now, however, I believe it's still too early to claim that's truly the case.
Investors don't appear to be convinced, either, with shares of Amex falling 14% thus far in 2026. The business may face greater challenges later this year, but overall, I still think Amex is a good stock to hold on to for the long term.
Should you buy stock in American Express right now?
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The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and American Express wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $492,752!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,327,935!*
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American Express is an advertising partner of Motley Fool Money. David Jagielski, CPA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends American Express and Walmart. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Why American Express' CEO Believes the Company May Do Well Even If Oil Prices Remain High

Key Points
Warren Buffett retired as CEO on Dec. 31 and handed Berkshire Hathaway's proverbial keys to longtime understudy, Greg Abel.
In Buffett's and Abel's respective letters to shareholders, neither listed this former No. 2 position as an indefinite holding or one that "will compound over decades."
Additionally, this brand-name company isn't the screaming bargain it once was -- and that could be a big problem for the value-focused Abel.
It's a new era for Berkshire Hathaway (NYSE: BRKA)(NYSE: BRKB). After spending more than half a century leading Berkshire and seeing it grow into a trillion-dollar company, Warren Buffett hung up his work coat for the final time as CEO on Dec. 31.
The Oracle of Omaha's successor is his longtime understudy, Greg Abel, who's been with the company for over a quarter century. Although Buffett remains chairman of Berkshire's board, it's Abel who now has the final say on the company's day-to-day operations and its closely watched, 48-stock investment portfolio.
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In many respects, Buffett and Abel are cut from the same cloth. They're value investors above all else, and tend to focus on companies with strong management teams, easily identifiable competitive advantages, and robust capital-return programs.
But this isn't Warren Buffett's Berkshire anymore, and changes should be expected under new leadership. Arguably, the most eye-popping change is the possibility that Abel will dump the Oracle of Omaha's former No. 2 holding, Bank of America (NYSE: BAC). Although Form 13Fs will tell the tale, there are several signs and hints to suggest that BofA is getting the heave-ho.
Bank of America wasn't labeled a "forever" stock by Buffett or Abel
In early 2024, when Berkshire's now-retired billionaire boss released his 2023 annual letter to shareholders, he outlined eight holdings he viewed as "indefinite."
As you might expect, Buffett pointed to Coca-Cola (NYSE: KO) and American Express (NYSE: AXP) as untouchable. These are the two longest-tenured holdings -- Coca-Cola since 1988 and Amex since 1991 -- and are generating annual yields on cost of 63% and 45%, respectively.
Buffett also highlighted integrated oil and gas company Occidental Petroleum as an indefinite holding. Despite having an on-again, off-again relationship with energy stocks since this century began, Berkshire's former boss strongly believes in Occidental's long-term success.
The sogo shosha (Japan's five trading houses) were the final five companies Buffett outlined as forever-type holdings. This includes Mitsubishi, Mitsui, Itochu, Marubeni, and Sumitomo. Abel played an integral role in establishing and building up Berkshire's stakes in the sogo shosha.
In late February, Greg Abel released his first letter to shareholders as Berkshire's CEO, and added two new names to the list of companies he believes "will compound over decades." These two stocks are Apple and Moody's.
Seven of Berkshire's 10-largest holdings were labeled as indefinite or compound-type investments by Warren Buffett or Greg Abel. Bank of America was missing from both lists, signaling it's not viewed as a forever holding.
Berkshire's Bank of America position has been pared down for six consecutive quarters
The next clue that BofA may be sent to the chopping block by Buffett's successor can be seen in Berkshire's 13Fs.
A Form 13F is a required quarterly filing by institutional investors with at least $100 million in assets under management. These filings allow investors to track which stocks and exchange-traded funds Wall Street's brightest money managers have been buying and selling.
According to Berkshire's 13Fs, Warren Buffett was a persistent seller of Bank of America stock for six consecutive quarters leading up to his retirement. Here's the breakdown:
Q3 2024: 235,168,699 shares sold
Q4 2024: 117,449,720 shares sold
Q1 2025: 48,660,056 shares sold
Q2 2025: 26,306,156 shares sold
Q3 2025: 37,197,363 shares sold
Q4 2025: 50,774,078 shares sold
Between July 17, 2024, and Dec. 31, 2025, Buffett reduced his company's stake in BofA by nearly 515.6 million shares, or roughly 50%. The more than 1.03 billion shares previously held made Bank of America Berkshire's No. 2 holding behind Apple.
Greg Abel and Buffett are similar in their approaches to paring down large positions. Halving a 1.03-billion-share position in 18 months strongly suggests that Bank of America is no longer viewed as a core holding, let alone a long-term one.
Bank of America's valuation no longer makes sense to a diehard value seeker
Last but not least, Bank of America stock is no longer the screaming bargain it once was.
The Oracle of Omaha initially took a position in BofA in August 2011, shortly after the worst of the financial crisis had passed. In exchange for $5 billion in capital to shore up Bank of America's balance sheet, Berkshire received $5 billion in BofA preferred stock, yielding 6% annually.
However, the crown jewel of this deal was the stock warrants Berkshire received. In the summer of 2017, Buffett exercised 700 million stock warrants at $7.14 per share, netting his company an instant $12 billion windfall.
Aside from Bank of America being a brand-name company with strong leadership, it was likely BofA's 62% discount to book value in August 2011 that enticed Buffett to act. However, when 2026 began, Bank of America shares were trading at a 43% premium to book value. While this isn't egregiously pricey for a money-center bank, it's also not a bargain amid a historically expensive stock market.
There may also have been concerns that BofA's interest income would disproportionately suffer during a Federal Reserve rate-easing cycle. While this rate-easing cycle has likely been thrown out the window, courtesy of the inflationary effects of the Iran war, BofA's heightened interest rate sensitivity can lead to knee-jerk reactions by its investors.
With Greg Abel unwilling to compromise when it comes to value, BofA's notable premium to book value may cement its eventual exit from Berkshire Hathaway's investment portfolio.
Should you buy stock in Bank of America right now?
Before you buy stock in Bank of America, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Bank of America wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $498,522!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,276,807!*
Now, it’s worth noting Stock Advisor’s total average return is 983% — a market-crushing outperformance compared to 200% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
Bank of America is an advertising partner of Motley Fool Money. American Express is an advertising partner of Motley Fool Money. Sean Williams has positions in Bank of America. The Motley Fool has positions in and recommends Apple, Berkshire Hathaway, and Moody's. The Motley Fool recommends Occidental Petroleum. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.