From Nasdaq: 2025-01-19 05:37:00

Warren Buffett and Berkshire Hathaway have a history of investing in bank stocks, with Bank of America being one of their top holdings. While they reduced their stake last year, Bank of America remains a significant part of their portfolio. On the other hand, Berkshire recently took a new stake in Citigroup, which has been struggling since the Great Recession. However, under new CEO Jane Fraser, Citigroup is undergoing a turnaround plan that includes simplifying its operations and modernizing its infrastructure. Berkshire’s investment in Citigroup may pay off if the bank can enhance its returns over time.

Overall, Bank of America and Citigroup present intriguing investment opportunities, with Citigroup potentially offering more upside due to its current valuation. Despite their challenges, both banks have the potential to deliver long-term returns for investors.



Read more at Nasdaq: Better Warren Buffett Stock: Citigroup vs. Bank of America