Where does Buffett invest? – America’s richest investor

This will, of course, be about Warren Buffett – perhaps the greatest investor of his or any other generation. He is known for buying shares and holding them for a long time in the assets of his firm Berkshire Hathaway. However, the year before last, it was announced that he had sold almost all of his shares to Walmart. And two years earlier – withdrew investments from AT&T.

Buffett also increased his stake in Apple and invested heavily in several airlines, including Southwest Airlines, although he used to shy away from the airline industry..

Let’s look at the companies where Buffett has been investing in recent years, as well as some of Berkshire Hathaway’s largest holdings. Studying this list should help investors decide which assets to pay attention to..

[Note: Stock prices and indicators in the article are indicated at the time of publication. You can see the current stock prices in a special widget at the end of the text.]

1. Apple (NASDAQ:? AAPL)

Stock Price: $ 186.87

Where does Buffett invest? – Of course to the most expensive company in the world. Berkshire Hathaway substantially increased its stake in Apple in 2016. In the fourth quarter alone, investment increased four times.

The company continues to grow, and its products remain highly popular. Therefore, the share price is close to a record maximum, partially supported by the company through the purchase of its own securities and stable dividends..

Many mutual funds hold shares in Apple, while the company sets new records for iPhone sales. Despite the fact that Apple remains a leader in the technological space, the market is cautious in relation to continued growth, as new iPhone models do not always show previous purchase results.

2. Delta Air Lines (NYSE DAL)

Stock Price: $ 54.05

Last winter, the year before last, Berkshire Hathaway was informed that they had acquired additional shares of Delta Air Lines as part of the transition to increasing the holding’s presence in the aviation industry. Berkshire Hathaway’s Delta investments worth about $ 2.9 billion right now.

According to Morningstar (an information analytical company and rating agency in the USA), Delta reported that the average annual profit growth was more than 18% over the previous five years, and the dividend yield was 1.47%.

3. United Continental Holdings (NYSE UAL)

Stock Price: $ 69.59

In March 2018, Berkshire Hathaway announced the presence of assets of about $ 1.9 billion in Unired Continental shares (the fourth largest US airline). These are some of Warren Buffett’s best stocks. United Continental reported that over the past five years, average annual profit growth was 13%. And over the past 12 months, stocks are trading in the range from $ 56.51 to $ 83.04.

4. American Airlines (NASDAQ AAL)

Stock Price: $ 43.54

And again, aviation. According to Berkshire Hathaway reports, the holding’s share in American Airlines shares at the end of 2016 was approximately $ 2.1 billion. Like other airlines, American Airlines is constantly trying to innovate to gain a competitive edge. The company recently unveiled new Basic Economy tariffs in several markets..

5. Southwest Airlines (NYSE LUV)

Stock Price: $ 51.08

As part of the increase in investment in Berkshire Airlines, Hathaway announced in the fourth quarter of 2016 that it was buying $ 2 billion worth of Southwest Airlines shares. This was Buffett’s first investment in this company. Buffett’s investment in LUV is already $ 2.7 billion in 2018.

Between February 2016 and February 2017, the airline’s total revenue was 42.44%. It significantly exceeded the standard index & Poor’s 500, which is equal to 25,365.

6. Monsanto (NYSE: MON)

Stock Price: $ 127.46

Berkshire bought about 8 million shares of the sustainable agricultural company Monsanto, at a total cost of about $ 800 million. Within 12 months from February 2016 to February 2017, the company recorded revenue of 29.98% and also outperformed the S index&P 500. Now the number of shares held by Buffett is 18 million for a total of $ 2.2 billion..

7. Sirius XM (NASDAQ: SIRI)

Stock Price: $ 7.10

This company is engaged in television and radio broadcasting. In 2016, Berkshire Hathaway announced the acquisition of Sirius XM shares in the amount of $ 790 million. This project has also become an absolute new investment position for Buffett..

According to the report for February 24, 2017, the company for the past 12 months recorded an income of 42.78%. This indicator exceeds the average in basket S&P 500.

8. IBM (NYSE:? IBM)

Stock Price: $ 141.31

IBM is one of the largest companies in the Berkshire Hathaway investment portfolio. At the end of 2016, the amount of assets reached approximately $ 15 billion..

According to the report for February 24, 2017, the total revenue of the company for the last year amounted to 40.78%. This is above the average growth of the Standard index. & Poor’s 500.

In fact, IBM is a stable stock, suitable for investors with and without experience. Therefore, this is the technology giant where Buffett and the company invest a lot of money.

9. Phillips 66 (NYSE PSX)

Stock Price: $ 116.49

Phillips 66 is the company that refines oil, not the one that produces phones. At the end of 2016, Berkshire Hathaway’s stake in Phillips 66 was valued at $ 6.3 billion. For the 12 months ended February 24, 2017, total revenue was 1.85%, this figure is significantly lower than the Standard average & Poor’s 500. Now Buffett has reduced the shareholding in this company to $ 4.3 billion..

10. Kraft Heinz (NASDAQ KHC)

Stock Price: $ 57.48

Well, who did not try the sauces from this company. Kraft Heinz is Berkshire Hathaway’s largest investment holding. The total value of assets at the end of 2016 was $ 30 billion. On February 24, 2017, total income over the past 12 months was 30.74%. This is 5.5% higher than the S index.&P 500 for the same period. As of March 2018, the amount of assets decreased, but it is still impressive and amounts to $ 20 billion..

11. Master Card (NYSE: MA)

Stock Price: $ 190.12

In 2016, Berkshire Hathaway invested more than $ 545 million in MasterCard. By February 24, 2017, the 12-month revenue growth was 29.36%. This is slightly higher than the entire Standard basket. & Poor’s 500.

Morningstar analysts believe that the company has strengthened its competitive position well over this period. They claim that the global network of banks, merchants and cardholders has great potential for the future..

Berkshire Hathaway’s investment in MasterCard is now up to $ 864 million.

12. Coca-Cola Company (NYSE: KO)

Stock Price: $ 43.00

In 2016, the total value of Berkshire Hathaway’s assets at Coca-Cola Company amounted to more than $ 16.7 billion. On February 24, 2017, the company reported over the past 12 months and recorded a loss of 1.66%. This is not a catastrophic result, because the average income of companies from the soft drinks sector according to Morningstar is rather modest – 3.22%.

Morningstar analysts are optimistic about the company, citing the fact that the leader of their industry will be able to stay afloat without problems due to the ability to maintain a premium price. Morningstar also praises Coca-Cola’s emerging market prospects.

Now the share of investments in the company “Eternal Holiday” remain at the same level.

13. Wells Fargo (NYSE WFC)

Stock Price: $ 53.99

Wells Fargo is a banking company and Berkshire long-term asset that Buffett incorporated into his business in 2015. Even after the scandals with fake account opening in 2016, Warren did not give up the shares of this company..

And despite adverse events, the company by February 24, 2017 showed an annual income of 24.62%. This is slightly below average S&P 500, but still very good. True, among the banking organizations monitored by Morningstar, Wells Fargo did not shine. Her income was half the market average.

According to a recent Morningstar analysis, the Wells Fargo business update last January confirmed the thesis that the impact of widespread sales fraud is short-lived. According to consumer indicators, the pace of closing accounts did not exceed the opening, and interest on deposits grew during these events. By 2017, customer satisfaction indicators returned to the “scandalous” level. No matter what, Wells Fargo is in second place, after Apple, in terms of the amount of funds where Buffett invests..

14. Bank of New York Mellon (NYSE: BK)

Stock Price: $ 54.75

At the end of 2016, Berkshire Hathaway’s investment in this bank was estimated at about $ 1 billion. As of February 24, 2017, the company showed revenue of 37.56%, 12% higher than the average S index&P 500, as well as 3% – average performance of investment management companies (according to Morningstar).

Morningstar says the reasons for optimism and faith in the bank are professionalism and experience, as well as the characteristic tenacity manifested in asset management.

15. General Motors (NYSE: GM)

Stock Price: $ 42.70

Berkshire Hathaway’s stake in General Motors at the end of 2016 amounted to approximately $ 1.8 billion. By February 24, the company’s annual income was 33.22%. In this indicator, it overtook the average income of the Standard basket. & Poor’s 500, and the success of the entire auto industry, according to Morningstar analysis.

According to Morningstar, General Motors still has huge potential for profit. The company can achieve growth by focusing on the US market, releasing four automobile brands instead of eight.

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