Berkshire's Hidden Gems: Why You Should Consider These Financial Stocks
Greg Abel has maintained Berkshire Hathaway's investing strategy since taking over as CEO in 2026, but he did jettison positions in Mastercard and Visa.
Berkshire continues to hold significant stakes in several financial services companies, with three notable holdings being American Express (AXP), Chubb (CB), and Moody's (MCO).
American Express has been a Berkshire holding since the 1990s and currently accounts for about 13.5% of its portfolio. The company benefits from robust spending by high-income households, but recent turbulence in its stock price may be an overreaction.
Chubb is another insurance company with strong economic moats, having reported 18.2% growth in core operating income year-over-year and trading at less than 12 times forward earnings.
Moody's, a credit rater with an oligopoly position, remains well-positioned to sustain its premium valuation due to its deep economic moat.