5 Best Financial Stocks to Buy According to Warren Buffett

2. Bank of America Corporation (NYSE:BAC)

Berkshire Hathaway’s Stake: $25 Billion

Bank of America Corporation (NYSE:BAC) is a long-term bet of Berkshire Hathaway. The stock has consistently featured in the 13F portfolio of the hedge fund since the third quarter of 2017. Back then, this position comprised 679 million shares. The fund steadily added to this stake in the coming months, growing it to more than 877 million shares by late 2018 and then to over 1 billion shares by early 2023. Since then, this stake has been trimmed. Filings for the first quarter of 2026 show that the fund owns over 513 million shares in the company, down a little under 1% compared to filings for the previous quarter.

Bank of America Corporation (NYSE:BAC) posted earnings for the first quarter of 2026 in mid-April, comfortably beating analyst expectations. The firm posted a diluted EPS of $1.11, handily beating the Wall Street consensus forecast of $1.01 to $1.02 per share. Total revenue grew 7.2% year-over-year to $30.43 billion. The net interest income gap between what the bank collects on loans and what it pays to depositors expanded to $15.9 billion, representing a 9% year-over-year gain that outpaced the $15.67 billion forecast reported by CNBC. Investment banking fees of the bank have skyrocketed 21% to $1.8 billion, driven by major roles in multibillion-dollar mega-mergers, such as Devon Energy’s $26 billion deal and Boston Scientific’s $14.9 billion acquisition of Penumbra.