In this article, we discuss the 5 long-term stocks to buy according to Warren Buffett. If you want to read our detailed analysis of these stocks, go directly to the 10 Long-Term Stocks to Buy According to Warren Buffett.
5. The Coca-Cola Company (NYSE:KO)
Number of Hedge Fund Holders: 61
The Coca-Cola Company (NYSE:KO) is one of the largest holdings of Berkshire Hathaway. A cursory look at the historical portfolio of the fund reveals that Berkshire Hathaway has held a stake in the firm since 2010. The value of this stake has increased from $13 billion in 2010 to $22 billion at the end of September 2021. The fund registered new activity around the stock most recently in the second and third quarter of 2012.
Among the hedge funds being tracked by Insider Monkey, Boston-based firm Arrowstreet Capital is a leading shareholder in The Coca-Cola Company (NYSE:KO) with 9.3 million shares worth more than $488 million.
4. Bank of America Corporation (NYSE:BAC)
Number of Hedge Fund Holders: 72
Bank of America Corporation (NYSE:BAC) provides banking and financial products.
Securities filings show that Berkshire Hathaway has held a stake in Bank of America Corporation (NYSE:BAC) since 2017. The value of this holding has increased $17 billion in 2017 to $42 billion at the end of the third quarter of 2021. The fund last registered new activity around the stock in the third quarter of 2020.
At the end of the third quarter of 2021, 72 hedge funds in the database of Insider Monkey held stakes worth $46.4 billion in Bank of America Corporation (NYSE:BAC), down from 87 in the previous quarter worth $46.5 billion.
3. General Motors Company (NYSE:GM)
Number of Hedge Fund Holders: 77
Data compiled by Insider Monkey shows that General Motors Company (NYSE:GM) has featured on the Berkshire portfolio since early 2012. The fund most recently reduced holdings in the company by over 10% in the second quarter of 2021. The value of the overall stake has increased from $256 million in 2012 to around $3 billion at the end of September 2021.
Among the hedge funds being tracked by Insider Monkey, Chicago-based investment firm Harris Associates is a leading shareholder in General Motors Company (NYSE:GM) with 34 million shares worth more than $1.8 billion.
Junto Investments, in its Q4 2020 investor letter, mentioned General Motors Company (NYSE:GM). Here is what the fund has to say about General Motors Company in its letter:
“General Motors was the biggest gainer. We managed to buy it at a screamingly cheap price in the middle of March. A lot of interesting news has emerged about GM recently, including the new electric product delivery system BrightDrop and GM Cruise’s team-up with Microsoft Azure to commercialize self-driving cars in 2021. GM’s intrinsic value is crystallizing and the company is worth a whole lot more than is still reflected in the market.”
2. Apple Inc. (NASDAQ:AAPL)
Number of Hedge Fund Holders: 120
Buffett has been a longtime admirer of Apple Inc. (NASDAQ:AAPL) and finally bought a stake in the company through his fund in early 2016. Today, it is the largest holding of Berkshire Hathaway. Buffett has increased stake in the company by over 100% since he first bought it. The value of the stake has increased from $1 billion in 2016 to $125 billion at the end of the third quarter of 2021.
At the end of the third quarter of 2021, 120 hedge funds in the database of Insider Monkey held stakes worth $145 billion in Apple Inc. (NASDAQ:AAPL), down from 138 in the preceding quarter worth $146 billion.
In its Q1 2021 investor letter, Distillate Capital, an asset management firm, highlighted a few stocks and Apple Inc. (NASDAQ:AAPL) was one of them. Here is what the fund said:
“Apple is an even more notable situation and one that highlights our free cash valuation methodology and bears further discussion given its Q3 ‘20 sale from our strategy. For an extended period, Apple was extraordinarily inexpensive on a free cash flow basis and was the largest position in our strategy, exceeding 5% of the portfolio.”
1. Visa Inc. (NYSE:V)
Number of Hedge Fund Holders: 143
Visa Inc. (NYSE:V) is another long-term holding of the legendary investor. According to 13F filings, Berkshire has held a stake in the company since 2011. The value of this holding has increased from $196 million in 2011 to $2 billion at the end of September 2021. The fund reduced stake in the firm by over 4% in the third quarter compared to the filings for the second.
At the end of the third quarter of 2021, 143 hedge funds in the database of Insider Monkey held stakes worth $26 billion in Visa Inc. (NYSE:V), down from 162 in the preceding quarter worth $27 billion.
In its Q1 2021 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and Visa Inc. (NYSE:V) was one of them. Here is what the fund said:
“To make room for these new names with more attractive outlooks related to the reopening, we sold out of companies where the thesis is not playing out at the pace we expected including Visa.”
You can also take a peek at 15 Dividend Stocks People Buy for Early Retirement and 10 Best Tech ETFs to Buy According to Reddit.
