Warren Buffett’s Top Holdings: American Express vs. Coca-Cola
Berkshire Hathaway's equity portfolio showcases two stalwarts: American Express (AXP) and Coca-Cola (KO). These holdings represent not just decades of conviction but significant stakes—21.8% of AXP and 9.3% of KO. Over the past decade, American Express has surged 228% in total returns, dwarfing Coke's 55% and even outpacing the S&P 500.
American Express operates with a unique edge, combining card issuance and payment processing—unlike Visa and Mastercard, which rely on third-party banks. This integrated model carries credit risk, but AXP's consistently low net write-off rate underscores its disciplined risk management.