Warren Buffett Retires, Investment Strategy Continues
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
0mins
Source: NASDAQ.COM
- Buffett's Retirement: Warren Buffett retired at the end of 2025, concluding his 60-year tenure as CEO of Berkshire Hathaway, yet he remains chairman, continuing to influence the company's strategic direction.
- Investment Strategy Continuation: In his final quarter, Buffett chose not to buy or sell shares of Coca-Cola and American Express, reinforcing his commitment to holding quality stocks for the long term, a strategy that has yielded substantial returns for investors over decades.
- Market Observation: Buffett noted in his recent shareholder letter that despite soaring market valuations, he has been a net seller over the past three years, reflecting his cautious stance on current market opportunities, especially as the S&P 500's price-to-earnings ratio reaches historical highs.
- Investor Insights: Buffett's investment philosophy emphasizes identifying quality companies with competitive advantages and holding them long-term, suggesting that investors should adopt this strategy by focusing on reasonably valued quality stocks to achieve long-term gains.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy AXP?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on AXP
Wall Street analysts forecast AXP stock price to rise
21 Analyst Rating
8 Buy
12 Hold
1 Sell
Moderate Buy
Current: 320.480
Low
280.00
Averages
379.06
High
425.00
Current: 320.480
Low
280.00
Averages
379.06
High
425.00
About AXP
American Express Company is a globally integrated payments company with card-issuing, merchant-acquiring and card network businesses. It offers products and services to a range of customers, including consumers, small businesses, mid-sized companies and large corporations around the world. Its segments include U.S. Consumer Services (USCS), Commercial Services (CS), International Card Services (ICS) and Global Merchant and Network Services (GMNS). USCS offers travel and lifestyle services as well as banking and non-card financing products. CS offers payment and expense management, banking and non-card financing products. ICS provides services to international customers, including travel and lifestyle services, and manages certain international joint ventures and its loyalty coalition business. GMNS operates a payments network that processes and settles card transactions, acquires merchants and provides multichannel marketing programs and capabilities, services and data analytics.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
American Express Reports Record 2025 Results Amid Stock Decline
- Significant Performance Growth: American Express achieved total revenue of $72.2 billion in 2025, marking a 10% year-over-year increase, with earnings per share reaching $15.38, reflecting a robust demand and profitability after excluding one-time gains.
- Optimistic Future Outlook: Management projects revenue growth of 9% to 10% for 2026, with earnings per share expected between $17.30 and $17.90, implying approximately 14% growth at the midpoint, showcasing confidence in future performance.
- Aggressive Capital Return Program: In 2025, American Express returned $7.6 billion to shareholders, including $2.3 billion in dividends and $5.3 billion in share repurchases, demonstrating the company's commitment to rewarding investors and its financial strength.
- Credit Risk Monitoring Required: Despite strong performance, concerns over potential future credit losses could lead to stock volatility, necessitating investors to closely monitor economic conditions that may impact customer credit profiles to assess investment risks.
See More
American Express to Build New Headquarters at World Trade Center
- New Headquarters Construction: American Express plans to build a new global headquarters at the World Trade Center in lower Manhattan, expected to be completed by 2031, spanning nearly 2 million square feet over 55 floors and accommodating up to 10,000 employees, reinforcing the company's deep roots in New York City.
- Smart Building Technology: The new headquarters will incorporate smart-building technology and fully electric, energy-efficient systems, aiming for Leadership in Energy and Environmental Design (LEED) certification, showcasing the company's commitment to sustainability while enhancing employee work environments and productivity.
- Development and Design Partnership: The project is being developed by Silverstein Properties and designed by Foster + Partners, with construction slated to begin in spring 2026, further driving urban development and economic recovery in lower Manhattan.
- Financial Impact Statement: Although the total cost of the project has not been disclosed, American Express stated that it is not expected to have a material impact on its financial results, reflecting the company's confidence in future investments and commitment to the community.
See More
Buffett's Investment Strategy Insights
- Holding Strategy: Buffett has been a net seller of stocks over the past three years, reflecting his cautious stance on current market valuations, particularly as the S&P 500 and valuations have surged, demonstrating his commitment to value investing.
- Long-Term Holding: In his final quarter, Buffett chose to maintain his positions in Coca-Cola and American Express, underscoring his long-term investment philosophy regarding quality companies, which have consistently provided him with earnings and dividends over the past two decades.
- Investment Philosophy: Buffett noted in his 2023 shareholder letter that he did not buy or sell shares of these two stocks, reinforcing his belief in long-term holding, as both companies have continued to increase earnings and dividends during his ownership period, validating his investment strategy.
- Investor Insights: Buffett's strategy serves as a reminder for investors to focus on quality companies with competitive advantages and healthy balance sheets, aiming to buy at reasonable valuations and hold for the long term to achieve stable returns, showcasing the power of value investing.
See More
Warren Buffett Retires, Investment Strategy Continues
- Buffett's Retirement: Warren Buffett retired at the end of 2025, concluding his 60-year tenure as CEO of Berkshire Hathaway, yet he remains chairman, continuing to influence the company's strategic direction.
- Investment Strategy Continuation: In his final quarter, Buffett chose not to buy or sell shares of Coca-Cola and American Express, reinforcing his commitment to holding quality stocks for the long term, a strategy that has yielded substantial returns for investors over decades.
- Market Observation: Buffett noted in his recent shareholder letter that despite soaring market valuations, he has been a net seller over the past three years, reflecting his cautious stance on current market opportunities, especially as the S&P 500's price-to-earnings ratio reaches historical highs.
- Investor Insights: Buffett's investment philosophy emphasizes identifying quality companies with competitive advantages and holding them long-term, suggesting that investors should adopt this strategy by focusing on reasonably valued quality stocks to achieve long-term gains.
See More
Buffett's Investment Portfolio Remains Steady
- Apple Holdings Adjustment: Berkshire Hathaway currently owns 227.9 million shares of Apple, representing 19.3% of its investment portfolio, a significant decrease from 906 million shares at the end of 2023; this strategic repositioning emphasizes the importance of portfolio balance, while Apple's revenue reached $143.8 billion in Q1 2026, up 16% year-over-year, indicating its strong market position.
- Kroger's Market Position: With a market share of about 9%, Kroger is the second-largest grocery chain in the U.S., operating over 2,700 stores and 2,200 pharmacies, serving approximately 11 million customers daily; despite a 3.13% drop in stock price, its 2% dividend yield and 20 years of annual dividend increases demonstrate stability, making it a defensive investment during economic uncertainty.
- Bank of America's Financial Performance: Bank of America reported revenues of $113.1 billion in 2025, a 7% increase year-over-year, with net income rising to $30.5 billion, up 13% from 2024; its 517 million shares make it a key investment for Berkshire, and the 2.09% dividend yield along with 12 consecutive years of dividend increases enhance its appeal.
- Strategic Significance of Portfolio: Under CEO Greg Abel, Berkshire Hathaway continues to focus on companies with strong management and consistent earnings, reflecting a preference for quality assets in uncertain economic conditions, ensuring long-term investment returns and market competitiveness.
See More
AI Agents Reshape Payment Ecosystem
- Market Reaction: Citrini Research's over 7,000-word article titled 'The 2028 Global Intelligence Crisis' has rattled markets, highlighting deep concerns about future payment models, leading to a more than 1% drop in the S&P 500 and a 4% to 6% decline in shares of Mastercard, Visa, American Express, and DoorDash.
- Distinction Between Networks and Issuers: Analyst Amira points out that payment networks like Visa and Mastercard derive most of their revenue from issuers, who bear the brunt of the 2-3% interchange fees, meaning that issuers will face greater pressure on profitability if fees compress.
- Economic Logic of Stablecoins: Amira emphasizes that AI agents, when optimizing for cost and efficiency, will naturally route transactions toward cheaper channels, making stablecoins an ideal choice for machine-to-machine commerce due to their near-instant settlement capabilities, especially when a 2-3% fee significantly impacts low-margin businesses.
- Shift in Business Models: As software takes control of transactions, traditional business models based on friction and fees will be challenged; while incumbents won't vanish overnight, more companies are exploring stablecoins and alternative payment rails to achieve 1-2% cost savings, fundamentally altering their economic structures.
See More
American Express Reports Record 2025 Results Amid Stock Decline
- Significant Performance Growth: American Express achieved total revenue of $72.2 billion in 2025, marking a 10% year-over-year increase, with earnings per share reaching $15.38, reflecting a robust demand and profitability after excluding one-time gains.
- Optimistic Future Outlook: Management projects revenue growth of 9% to 10% for 2026, with earnings per share expected between $17.30 and $17.90, implying approximately 14% growth at the midpoint, showcasing confidence in future performance.
- Aggressive Capital Return Program: In 2025, American Express returned $7.6 billion to shareholders, including $2.3 billion in dividends and $5.3 billion in share repurchases, demonstrating the company's commitment to rewarding investors and its financial strength.
- Credit Risk Monitoring Required: Despite strong performance, concerns over potential future credit losses could lead to stock volatility, necessitating investors to closely monitor economic conditions that may impact customer credit profiles to assess investment risks.
See More
American Express to Build New Headquarters at World Trade Center
- New Headquarters Construction: American Express plans to build a new global headquarters at the World Trade Center in lower Manhattan, expected to be completed by 2031, spanning nearly 2 million square feet over 55 floors and accommodating up to 10,000 employees, reinforcing the company's deep roots in New York City.
- Smart Building Technology: The new headquarters will incorporate smart-building technology and fully electric, energy-efficient systems, aiming for Leadership in Energy and Environmental Design (LEED) certification, showcasing the company's commitment to sustainability while enhancing employee work environments and productivity.
- Development and Design Partnership: The project is being developed by Silverstein Properties and designed by Foster + Partners, with construction slated to begin in spring 2026, further driving urban development and economic recovery in lower Manhattan.
- Financial Impact Statement: Although the total cost of the project has not been disclosed, American Express stated that it is not expected to have a material impact on its financial results, reflecting the company's confidence in future investments and commitment to the community.
See More
Buffett's Investment Strategy Insights
- Holding Strategy: Buffett has been a net seller of stocks over the past three years, reflecting his cautious stance on current market valuations, particularly as the S&P 500 and valuations have surged, demonstrating his commitment to value investing.
- Long-Term Holding: In his final quarter, Buffett chose to maintain his positions in Coca-Cola and American Express, underscoring his long-term investment philosophy regarding quality companies, which have consistently provided him with earnings and dividends over the past two decades.
- Investment Philosophy: Buffett noted in his 2023 shareholder letter that he did not buy or sell shares of these two stocks, reinforcing his belief in long-term holding, as both companies have continued to increase earnings and dividends during his ownership period, validating his investment strategy.
- Investor Insights: Buffett's strategy serves as a reminder for investors to focus on quality companies with competitive advantages and healthy balance sheets, aiming to buy at reasonable valuations and hold for the long term to achieve stable returns, showcasing the power of value investing.
See More
Warren Buffett Retires, Investment Strategy Continues
- Buffett's Retirement: Warren Buffett retired at the end of 2025, concluding his 60-year tenure as CEO of Berkshire Hathaway, yet he remains chairman, continuing to influence the company's strategic direction.
- Investment Strategy Continuation: In his final quarter, Buffett chose not to buy or sell shares of Coca-Cola and American Express, reinforcing his commitment to holding quality stocks for the long term, a strategy that has yielded substantial returns for investors over decades.
- Market Observation: Buffett noted in his recent shareholder letter that despite soaring market valuations, he has been a net seller over the past three years, reflecting his cautious stance on current market opportunities, especially as the S&P 500's price-to-earnings ratio reaches historical highs.
- Investor Insights: Buffett's investment philosophy emphasizes identifying quality companies with competitive advantages and holding them long-term, suggesting that investors should adopt this strategy by focusing on reasonably valued quality stocks to achieve long-term gains.
See More
Buffett's Investment Portfolio Remains Steady
- Apple Holdings Adjustment: Berkshire Hathaway currently owns 227.9 million shares of Apple, representing 19.3% of its investment portfolio, a significant decrease from 906 million shares at the end of 2023; this strategic repositioning emphasizes the importance of portfolio balance, while Apple's revenue reached $143.8 billion in Q1 2026, up 16% year-over-year, indicating its strong market position.
- Kroger's Market Position: With a market share of about 9%, Kroger is the second-largest grocery chain in the U.S., operating over 2,700 stores and 2,200 pharmacies, serving approximately 11 million customers daily; despite a 3.13% drop in stock price, its 2% dividend yield and 20 years of annual dividend increases demonstrate stability, making it a defensive investment during economic uncertainty.
- Bank of America's Financial Performance: Bank of America reported revenues of $113.1 billion in 2025, a 7% increase year-over-year, with net income rising to $30.5 billion, up 13% from 2024; its 517 million shares make it a key investment for Berkshire, and the 2.09% dividend yield along with 12 consecutive years of dividend increases enhance its appeal.
- Strategic Significance of Portfolio: Under CEO Greg Abel, Berkshire Hathaway continues to focus on companies with strong management and consistent earnings, reflecting a preference for quality assets in uncertain economic conditions, ensuring long-term investment returns and market competitiveness.
See More
AI Agents Reshape Payment Ecosystem
- Market Reaction: Citrini Research's over 7,000-word article titled 'The 2028 Global Intelligence Crisis' has rattled markets, highlighting deep concerns about future payment models, leading to a more than 1% drop in the S&P 500 and a 4% to 6% decline in shares of Mastercard, Visa, American Express, and DoorDash.
- Distinction Between Networks and Issuers: Analyst Amira points out that payment networks like Visa and Mastercard derive most of their revenue from issuers, who bear the brunt of the 2-3% interchange fees, meaning that issuers will face greater pressure on profitability if fees compress.
- Economic Logic of Stablecoins: Amira emphasizes that AI agents, when optimizing for cost and efficiency, will naturally route transactions toward cheaper channels, making stablecoins an ideal choice for machine-to-machine commerce due to their near-instant settlement capabilities, especially when a 2-3% fee significantly impacts low-margin businesses.
- Shift in Business Models: As software takes control of transactions, traditional business models based on friction and fees will be challenged; while incumbents won't vanish overnight, more companies are exploring stablecoins and alternative payment rails to achieve 1-2% cost savings, fundamentally altering their economic structures.
See More
