In this article, we discuss the 5 best Warren Buffett stocks to buy now. If you want to read our detailed analysis of Buffett’s history, and hedge fund performance, go directly to the 15 Best Warren Buffett Stocks to Buy Now.
5. The Kraft Heinz Company (NASDAQ: KHC)
Number of Hedge Fund Holders: 33
The Kraft Heinz Company (NASDAQ: KHC) is a food and beverage company. It is ranked fifth on our list of 15 best Warren Buffett stocks to buy now. The stock has returned 14.02% to investors over the course of the past year.
On April 29, The Kraft Heinz Company (NASDAQ: KHC) posted earnings for the first quarter of 2021, reporting earnings per share of $0.72, beating estimates by $0.13. The revenue over the period was around $6.39 billion, up 3.85% year-over-year.
At the end of the first quarter of 2021, 33 hedge funds in the database of Insider Monkey held stakes worth $13.33 billion in The Kraft Heinz Company (NASDAQ: KHC). Out of the hedge funds being tracked by Insider Monkey, Warren Buffett’s Berkshire Hathaway has the most valuable position in The Kraft Heinz Company (NASDAQ: KHC) as of the end of the first quarter of 2021, worth close to $13.03 billion, comprising 4.81% of its total 13F portfolio.
In the first quarter of 2021, Billionaire Ray Dalio’s Bridgewater Associates increased its stake in The Kraft Heinz Company (NASDAQ: KHC) by 10% to $55.56 million, comprising 0.48% of its total 13F portfolio.
4. The Coca-Cola Company (NYSE: KO)
Number of Hedge Fund Holders: 61
The Coca-Cola Company (NYSE: KO) is an American beverage company, manufacturing and selling nonalcoholic beverages. It is ranked fourth on our list of 15 best Warren Buffett stocks to buy now. The stock has returned 19.81% to investors over the course of the past year.
On July 21, The Coca-Cola Company (NYSE: KO) posted earnings for the second quarter of 2021, reporting earnings per share of $0.68, beating estimates by $0.12. The revenue over the period was around $10.13 billion, up 41.61% year-over-year.
At the end of the first quarter of 2021, 61 hedge funds in the database of Insider Monkey held stakes worth $24.90 billion in The Coca-Cola Company (NYSE: KO). Out of the hedge funds being tracked by Insider Monkey, Warren Buffett’s Berkshire Hathaway has the most valuable position in The Coca-Cola Company (NYSE: KO) as of the end of the first quarter of 2021, worth close to $21.08 billion, comprising 7.79% of its total 13F portfolio.
On July 22, Truist kept its Buy rating on The Coca-Cola Company (NYSE: KO) while boosting its price target to $65 from $60, noting that the company will further benefit from the reopening.
3. American Express Company (NYSE: AXP)
Number of Hedge Fund Holders: 53
American Express Company (NYSE: AXP) is an American financial services company, known primarily as the provider of AmEx credit and charge cards. It is ranked third on our list of 15 best Warren Buffett stocks to buy now. The stock has returned 79.08% to investors over the course of the past year.
On April 23, American Express Company (NYSE: AXP) posted earnings for the first quarter of 2021, reporting earnings per share of $2.74, beating estimates by $1.12. The revenue over the period was around $9.06 billion, down 12.09% year-over-year.
At the end of the first quarter of 2021, 53 hedge funds in the database of Insider Monkey held stakes worth $24.48 billion in American Express Company (NYSE: AXP). Out of the hedge funds being tracked by Insider Monkey, Warren Buffett’s Berkshire Hathaway has the most valuable position in American Express Company (NYSE: AXP) as of the end of the first quarter of 2021, worth close to $21.44 billion, comprising 7.92% of its total 13F portfolio.
On July 12, Wells Fargo kept its Outperform rating on American Express Company (NYSE: AXP) while increasing its price target to $200 from $185, arguing that card companies will continue to benefit from the reopening of the economy.
In its Q2 2021 investor letter, ClearBridge Investments, an investment management firm, mentioned American Express Company (NYSE: AXP). Here is what the firm had to say:
In financials, American Express has done an excellent job demonstrating the resiliency of its franchise in the midst of a global pandemic that drove a 60% decline in its core travel and entertainment business. The company’s spend-centric model has been helped by fiscal stimulus ensuring a flush consumer, while management continues to execute well by adding millions of new consumer and small and medium business accounts, which should benefit the franchise over the medium to long term. We remain optimistic regarding the company’s prospects as travel and entertainment activity rebounds, adding to our position in the quarter.
2. Bank of America Corporation (NYSE: BAC)
Number of Hedge Fund Holders: 97
Bank of America Corporation (NYSE: BAC) is an American multinational bank – one of the Big Four banks in the United States. Its operations span from retail banking to wealth management. It is ranked second on our list of 15 best Warren Buffett stocks to buy now. The stock has returned 57.49% to investors over the course of the past year.
On July 14, Bank of America Corporation (NYSE: BAC) posted earnings for the second quarter of 2021, reporting earnings per share of $1.03, beating estimates by $0.27. The revenue over the period was around $21.47 billion, down 4.40% year-over-year.
At the end of the first quarter of 2021, 97 hedge funds in the database of Insider Monkey held stakes worth $45.32 billion in Bank of America Corporation (NYSE: BAC). Out of the hedge funds being tracked by Insider Monkey, Warren Buffett’s Berkshire Hathaway has the most valuable position in Bank of America Corporation (NYSE: BAC) as of the end of the first quarter of 2021, worth close to $39.08 billion, comprising 14.45% of its total 13F portfolio.
In its Q1 2021 investor letter, ClearBridge Investments, an investment management firm, mentioned Bank of America Corporation (NYSE: BAC). Here is what the firm had to say:
Higher long-term interest rates supported financials such as Bank of America, which has shown both defensive and offensive characteristics in the past year. We believe it continues to be the least risky large bank from a credit standpoint, with conservative underwriting and controlled risk taking, a leading consumer deposit franchise, scale and technology. It is also a leader in its commitments to sustainability, or as it terms it, responsible growth. Disclosure and reporting at all levels form a large part of this commitment, including gender diversity and equality, environmental commitments and support of communities in which it operates. In the first quarter Bank of America announced it is setting a goal of net-zero greenhouse gas (GHG) emissions in its supply chain and operations, and notably also in its financing activities, before 2050.
1. Apple Inc. (NASDAQ: AAPL)
Number of Hedge Fund Holders: 127
Apple Inc. (NASDAQ: AAPL) is a multinational tech company manufacturing well-known iPhone smartphones as well as providing online services and software. It is ranked first on our list of 15 best Warren Buffett stocks to buy now. The stock has returned 49.90% to investors over the course of the past year.
On April 28, Apple Inc. (NASDAQ: AAPL) posted earnings for the first quarter of 2021, reporting earnings per share of $1.40, beating estimates by $0.41. The revenue over the period was around $89.58 billion, up 53.63% year-over-year.
At the end of the first quarter of 2021, 127 hedge funds in the database of Insider Monkey held stakes worth $130.91 billion in Apple Inc. (NASDAQ: AAPL). Out of the hedge funds being tracked by Insider Monkey, Warren Buffett’s Berkshire Hathaway has the most valuable position in Apple Inc. (NASDAQ: AAPL) as of the end of the first quarter of 2021, worth close to $108.36 billion, comprising 40.07% of its total 13F portfolio.
On July 22, Canaccord kept its Buy rating on Apple Inc. (NASDAQ: AAPL) while increasing its price target to $175 from $165, noting that Apple Inc. (NASDAQ: AAPL) will keep benefiting from the 5G development.
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