American Express stock would need to register an unbelievable 38% annualized gain throughout the rest of the decade. Management believes the business can put up mid-teens earnings-per-share growth over the long term. The stock is currently expensive, but this is a high-quality company.

American Express (NYSE: AXP) is a dominant force in the credit card industry, with premium offerings that support its brand recognition. Warren Buffett likes the business, as Berkshire Hathaway owns 21.8% of the outstanding shares. Can this financial stock turn a $10,000 investment into $50,000 by 2030?

If American Express shares soared fivefold over the next five years, investors would register a fantastic 38% annualized return. However, it’s best to temper expectations. The stock isn’t cheap, though, with a historically expensive price-to-earnings ratio of 21.6. This is an outstanding company worth considering for your portfolio.

While betting on American Express shares to rise fivefold in five years is unlikely, a 400% return over a 15- or 20-year period is possible. The stock benefits from a network effect and has the Oracle of Omaha’s endorsement. Consider adding it to your watch list for potential long-term growth.

Read more at Yahoo Finance.: Can $10,000 in American Express Stock Turn Into $50,000 by 2030?