AXP

In a comparison of two Financial - Miscellaneous Services sector stocks, Virtu Financial (VIRT) emerges as the more attractive option for value investors compared to American Express (AXP). VIRT holds a stronger Zacks Rank of #2 (Buy) versus AXP's #3 (Hold), and demonstrates superior valuation metrics including a lower forward P/E ratio of 7.89 versus 17.93, a lower PEG ratio of 0.37 versus 1.35, and a lower P/B ratio of 3.77 versus 6.23. VIRT received a Value grade of B compared to AXP's C grade.

The article compares American Express and Mastercard as investment options for 2026. American Express operates a closed-loop system as both lender and network processor with premium positioning but faces credit risk and customer concentration.

Mastercard functions as a pure-play technology network with global scale, higher margins, and no direct credit risk, but commands a premium valuation. The author recommends Mastercard as the better buy despite American Express's more attractive valuation, citing Mastercard's superior long-term performance and lower risk profile.

Berkshire Hathaway has collected $479 million in dividends from American Express in 2025, from an initial investment of $1.3 billion made over multiple years ending in 1995. The company now owns 22% of American Express with a market value of $56 billion. American Express has consistently grown its dividend payouts over time, demonstrating the power of long-term dividend investing.