39% of Warren Buffett's $296 Billion Is Invested in These 11 Financial Stocks. Here's the Best of the Bunch for 2025.

Ally and Citigroup will also likely appeal the most to income investors. Ally’s forward dividend yield tops 3%. Citigroup’s forward dividend yield is 2.74%. On the other hand, many of Buffett’s financial stocks offer paltry dividend yields of under 1%. Nu Holdings doesn’t pay any dividends.

Which of these stocks does Wall Street think will jump the most over the next 12 months? Nu is the hands-down winner, with the consensus analysts’ price target reflecting an upside potential of nearly 22%. Wall Street also projects that Bank of America, Chubb, Ally, and Jefferies will deliver double-digit percentage gains.

Buffett would almost certainly say that American Express is the best long-term pick of these 11 financial stocks. It’s the only member of the group he included in the list of stocks he plans to own “indefinitely.”

I view several of these stocks, including American Express, as great choices for investors to buy and hold. However, I’m on the same page as Wall Street with my pick as the best of the bunch for 2025: It’s Nu.

Nu’s revenue and earnings continue to grow rapidly. The Latin American digital bank leader dominates the market in its home country of Brazil. It also has tremendous growth prospects in Mexico and Colombia. Income investors will turn up their noses at Nu, but growth investors should love this Buffett stock.

Ever feel like you missed the boat in buying the most successful stocks? Then you’ll want to hear this.

On rare occasions, our expert team of analysts issues a “Double Down” stock recommendation for companies that they think are about to pop. If you’re worried you’ve already missed your chance to invest, now is the best time to buy before it’s too late. And the numbers speak for themselves:

• Nvidia: if you invested $1,000 when we doubled down in 2009, you’d have $369,816!*

• Apple: if you invested $1,000 when we doubled down in 2008, you’d have $42,191!*

• Netflix: if you invested $1,000 when we doubled down in 2004, you’d have $527,206!*

Right now, we’re issuing “Double Down” alerts for three incredible companies, and there may not be another chance like this anytime soon.

Learn more »

*Stock Advisor returns as of January 21, 2025

Bank of America is an advertising partner of Motley Fool Money. Citigroup is an advertising partner of Motley Fool Money. Ally is an advertising partner of Motley Fool Money. American Express is an advertising partner of Motley Fool Money. Keith Speights has positions in Berkshire Hathaway, Chubb, and Mastercard. The Motley Fool has positions in and recommends Bank of America, Berkshire Hathaway, Jefferies Financial Group, Mastercard, Moody’s, and Visa. The Motley Fool recommends Nu Holdings and recommends the following options: long January 2025 $370 calls on Mastercard and short January 2025 $380 calls on Mastercard. The Motley Fool has a disclosure policy.

39% of Warren Buffett’s $296 Billion Is Invested in These 11 Financial Stocks. Here’s the Best of the Bunch for 2025. was originally published by The Motley Fool