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Buffett’s Bullseye: Meet The 4 Stocks That Make Up Nearly 75% Of His Portfolio

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Legendary investor Warren Buffett has long preached the importance of passive investing in large-cap stocks. “Beware the investment activity that produces applause; the great moves are usually greeted by yawns,” said Buffett, who also is a big fan of dividend-yielding stocks, which he calls the secret sauce to Berkshire Hathaway Inc. ‘s success.

Nearly 75% of Buffett’s portfolio is invested in just five stocks. Take a closer look. Apple Buffett has been a long-time supporter of Apple Inc.

AAPL , which he calls a “better business than any we own. ” Approximately 50. 04% of his portfolio is invested in Apple, which was valued at over $155 billion as of Sept.

30. Despite uncertainty in the market, demand for Apple’s products remains strong, with iPhone sales hitting a record high in the fiscal fourth quarter that ended Sept. 30.

Apple shares have risen 49% year-to-date, making it one of the best-performing tech stocks this year. “We now have our strongest lineup of products ever heading into the holiday season, including the iPhone 15 lineup and our first carbon-neutral Apple Watch models, a major milestone in our efforts to make all Apple products carbon neutral by 2030,” Apple CEO Tim Cook said. Wedbush has an Overweight rating on Apple stock with a price target of $250, indicating a potential upside of nearly 30%.

Morgan Stanley also has an Overweight rating on the tech behemoth with a price target of $220, indicating a potential upside of over 13%. Don’t Miss: Investing in real estate just got a whole lot simpler. This Jeff Bezos-backed startup will allow you to become a landlord in just 10 minutes, and you only need $100.

Warren Buffett once said, “If you don’t find a way to make money while you sleep, you will work until you die. ” Here are three high-yield investments to add significant income to your portfolio . Coca-Cola Buffett generated nearly $704 million in dividends from his investment in the Coca-Cola Co.

KO . His initial investment of $1. 3 billion in Coca-Cola stock has multiplied to $25 billion, according to Berkshire Hathaway’s 2022 annual shareholder letter.

Buffett owns 400 million shares of Coca-Cola through Berkshire Hathaway, which accounts for 7. 15% of his total portfolio. Coca-Cola currently pays $1.

84 in dividends annually, yielding nearly 3. 2% on the current stock price. The Dividend Aristocrat stock has a dividend payout history, as it has hiked its annual dividend payouts for 61 consecutive years.

Despite the volatile market backdrop, Coca-Cola is expected to maintain stable growth momentum, as the company’s revenue is expected to rise by 4. 1% in the quarter ending December. The consensus earnings per share (EPS) estimate of $0.

48 for the quarter ending in December indicates a 6. 7% year-over-year increase. Loading.

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. . Bank of America Berkshire Hathaway owns approximately 1.

03 billion shares of Bank of America Corp. BAC , accounting for over 9% of Buffett’s investment portfolio. Shares of Bank of America rose by over 20% in the past three months.

Bank of America has benefitted from the decades-high interest rates, as the bank’s total net income rose by 10% year over year to $7. 8 billion in the fiscal third quarter that ended Sept. 30.

Its EPS for the quarter amounted to $0. 90, indicating an 11% rise from the same period last year. Bank of America also raised its dividend payouts by 9% back in July, bringing its total annual dividends to $0.

96 and yielding 2. 89% on the current price. Odeon Capital Group upgraded its outlook on Bank of America stock from Hold to Buy on Dec.

13 with a price target of $37. 94, indicating an over 13% potential upside. American Express American Express Co.

AXP is Buffett’s third-largest holding, accounting for 7. 22% of Berkshire Hathaway’s stock holdings. With U.

S. credit card debt topping $1 trillion in the second quarter, American Express reported an improvement in its financials. Spending by millennial and Gen Z American Express customers rose by 18% year over year in the fiscal third quarter, which ended Sept.

30. American Express reported record third-quarter revenue for the sixth consecutive quarter, up 13% from the same period last year. American Express’s EPS increased by 34% year over year to $3.

30 for the third quarter. The consensus revenue estimate of $16. 01 billion for the quarter ending in December indicates a 13% year-over-year increase.

Wall Street expects the American Express EPS to amount to $2. 65 for the quarter, indicating a 13% year-over-year increase. Read Next: Elon Musk may be adding landlord to his list of titles.

Here’s how to join him in his latest venture with as little as $100. Collecting passive income from real estate just got a whole lot simpler. A new real estate fund backed by Jeff Bezos gives you instant access to a diversified portfolio of rental properties, and you only need $100 to get started.

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From: benzinga
URL: https://www.benzinga.com/general/24/01/36444463/buffetts-bullseye-meet-the-4-stocks-that-make-up-nearly-75-of-his-portfolio

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