Warren Buffett's Berkshire Hathaway BRK owns a large percentage of American Express AXP stock. As of June 30, Berkshire Hathaway owns about 151.6 million shares of American Express. Its stake is worth approximately $36.2 billion, representing about 21.3% of American Express's total market capitalization and about 11.8% of Berkshire Hathaway's portfolio.
American Express currently pays a quarterly dividend of $0.70 per share, which equates to an annual dividend of $2.80 per share and gives its stock a yield of about 1.2% at the time of this writing.
Check It Out:
- A billion-dollar investment strategy with minimums as low as $10 — you can become part of the next big real estate boom today.
This is a paid advertisement. Carefully consider the investment objectives, risks, charges and expenses of the Fundrise Flagship Fund before investing. This and other information can be found in the Fund's prospectus. Read them carefully before investing. - Investing in private credit could potentially unlock APY up to 20%, with benefits like shorter term durations and diversified returns – Find out more if you're an accredited investor.
Let's find out how much Berkshire Hathaway will earn in dividends from its investment.
How To Calculate
Total Annual Dividend = Number of Shares x Annual Dividend per Share
So …
Berkshire shares of American Express: 151,610,700
American Express annual dividend per share: $2.80
Total Annual Dividend = 151,610,700 x 2.80
Result: $424,509,960
Trending:
- Discover the compelling reasons behind the staggering $110.5 million price tag of this painting and explore the world of high-value art investments. Don’t miss out on the opportunity to understand the art market dynamics.
- Miami is expected to take New York's place as the U.S. Financial Capital. Invest now and earn returns.
Nearly $425 Million Annually
Berkshire Hathaway will receive about $424.51 million annually in dividends from its investment in American Express, not including reinvesting those dividends. If those dividends were reinvested, the annual dividend income would grow accordingly.
American Express has also raised its annual dividend payment each of the last three years, so Berkshire Hathaway's dividend income will likely grow in the years ahead as the company delivers more increases.
"Both Amex and Coke will almost certainly increase their dividends in 2024 – about 16% in the case of Amex – and we will most certainly leave our holdings untouched throughout the year," Warren Buffett said in a February 2024 letter to shareholders.
"The lesson from Coke and Amex? When you find a truly wonderful business, stick with it," Buffett continued. "Patience pays, and one wonderful business can offset the many mediocre decisions that are inevitable."
Looking For Higher-Yield Opportunities?
The current high-interest-rate environment has created an incredible opportunity for income-seeking investors to earn massive yields, but not through dividend stocks… Certain private market real estate investments are giving retail investors the opportunity to capitalize on these high-yield opportunities and Benzinga has identified some of the most attractive options for you to consider.
For instance, the Ascent Income Fund from EquityMultiple targets stable income from senior commercial real estate debt positions and has a historical distribution yield of 12.1% backed by real assets. With payment priority and flexible liquidity options, the Ascent Income Fund is a cornerstone investment vehicle for income-focused investors. First-time investors with EquityMultiple can now invest in the Ascent Income Fund with a reduced minimum of just $5,000. Benzinga Readers: Earn a 1% return boost on your first EquityMultiple investment when you sign up here (accredited investors only).
Don't miss out on this opportunity to take advantage of high-yield investments while rates are high. Check out Benzinga's favorite high-yield offerings.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.