Growth Stock Portfolio: 5 Stock Picks By Warren Buffett

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1. Apple Inc. (NASDAQ:AAPL)

Number of Hedge Fund Holders: 128

P/E Ratio as of November 9: 22.83

Apple Inc. (NASDAQ:AAPL) is the largest holding of Warren Buffett’s Berkshire portfolio, and it is one of the top growth picks of the hedge fund. Berkshire Hathaway owns approximately 895 million shares of Apple Inc. (NASDAQ:AAPL) as of Q2 2022, worth $122.3 billion and representing 40.76% of the total portfolio. 

On November 8, Morgan Stanley analyst Erik Woodring maintained an Overweight rating on Apple Inc. (NASDAQ:AAPL) but trimmed the price target on the shares to $175 from $177 after the company announced that the renewal of COVID-19 restrictions at the China facility is negatively impacting iPhone 14 Pro and Pro Max production. However, the analyst called this “a supply problem, not a demand problem.” As such, he views this as an “opportunity to ‘buy the dip’,” but added that tracking the iPhone production scenario “remains key”.

According to Insider Monkey’s data, 128 hedge funds were long Apple Inc. (NASDAQ:AAPL) at the end of the second quarter of 2022, compared to 131 funds in the last quarter. Ken Fisher’s Fisher Asset Management is a significant stakeholder of the company, with 65.6 million shares worth about $9 billion.  

Here is what Wedgewood Partners specifically said about Apple Inc. (NASDAQ:AAPL) in its Q3 2022 investor letter:

“Apple Inc. (NASDAQ:AAPL) grew revenues +5% (foreign exchange adjusted and excluding Russia) driven by record iPhone revenues that were up about +3% on an exceptional year ago comparison of +50%. Apple’s installed base is over 1.8 billion devices which helps drive a software and services business that has generated almost $80 billion of revenue over the past 4 quarters. As we have highlighted in the past, Apple’s relentless focus on the development and integration between hardware (especially ICs) as well as software, continues to add significant value for customers of its products and services. We expect this favorable competitive dynamic to continue for the foreseeable future.”

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You can also take a look at Goldman Sachs Energy Stocks and 10 Best Safe Dividend Stocks for Retirement Portfolios.

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