This article presents an overview of the Warren Buffett and Billionaires Are Crazy About These 5 Stocks. For a detailed overview of such stocks, read Warren Buffett and Billionaires Are Crazy About These 15 Stocks.
5. Apple Inc (NASDAQ:AAPL)
Number of Billionaire Investors: 19
Apple Inc (NASDAQ:AAPL) is the biggest holding of Warren Buffett as Berkshire Hathaway owns a $157 billion stake in Apple Inc (NASDAQ:AAPL) as of the end of the third quarter of 2023. A total of 19 billionaires had Apple Inc (NASDAQ:AAPL) shares in their portfolios heading into the fourth quarter of 2024. In addition to Warren Buffett, Ken Fisher D. E. Shaw, Cliff Asness Israel Englander, among other billionaires, had stakes in Apple Inc (NASDAQ:AAPL).
Here is what White Brook Capital has to say about Apple Inc. (NASDAQ:AAPL) in its Q3 2023 investor letter:
“The magnificent seven, that underpin the S&P 500 performance, which includes Apple Inc. (NASDAQ:AAPL), now comprise almost 30% of the market capitalization of the S&P500. At least three of the seven stocks have heightened downside risk and suffer from already high penetration, weakening end markets, competitive risk, and lofty valuation. They have been remarkably resilient to increased interest rates and the potential for slowing growth. Small and midcap stocks, on the other hand, have been systemically penalized by fears of recession and continue to price that eventuality even as significantly better outcomes have become more probable. Today, it’s relatively easy to find attractive investments in this segment.”
4. Chevron Corporation (NYSE:CVX)
Number of Billionaire Investors: 19
Chevron Corporation (NYSE:CVX) ranks 4th in our list of the stocks Warren Buffett and other billionaires are buying. Warren Buffett owns an $18.5 billion stake in Chevron Corporation (NYSE:CVX) as of the end of the third quarter. Overall, 19 billionaires had stakes in Chevron Corporation (NYSE:CVX). Other billionaires bullish on the stock include Ken Fisher. Israel Englander, Cliff Asness and Steve Cohen.
Chevron Corporation (NYSE:CVX) recently said it expects total capital spending for FY 2024 to rise by about 14% year over year to $15.5 billion – $16.5 billion, plus an additional $3 billion for affiliate capex.
Ariel Focus Fund made the following comment about Chevron Corporation (NYSE:CVX) in its third 2023 investor letter:
“Also in the quarter, we initiated a position in Chevron Corporation (NYSE:CVX), the second largest integrated energy company in the U.S., operating in exploration, production and refining on a global scale. We view the company as competitively advantaged with a strong balance sheet, sustainable growth pathway and an effective management team. Going forward CVX expects improved cost efficiencies and production growth via its differentiated position in the Permian Basin and recent acquisition of Noble Energy. Additionally, management believes a combination of its new higher-margin projects along with operational improvements will drive a double-digit return of capital employed by 2027. Although oil and gas prices, which lay outside of the company’s control, ultimately dictate Chevron’s earnings and cashflow profile, the organization is laser focused on capital discipline. It is this lack of predictability, and potential fear of a global recession which presented us with an opportunity to initiate a position in this high barrier to entry producer at reasonable prices.”
3. Mastercard Inc (NYSE:MA)
Number of Billionaire Investors: 23
Mastercard Inc (NYSE:MA) ranks 3rd in our list of the Warren Buffett stocks billionaires are crazy about. Warren Buffett owns a $1.6 billion stake in Mastercard Inc (NYSE:MA).
A total of 23 billionaire-led hedge funds had stakes in Mastercard Inc (NYSE:MA) as of the end of the third quarter of 2023.
Earlier this month Mastercard Inc (NYSE:MA) upped its dividend by a whopping 15.8%.
Mastercard Inc’s (NYSE:MA) board has also approved a new $11 billion share repurchase program.
As of December 1, 2023, Mastercard Inc (NYSE:MA) had about $3.5 billion remaining under the current approved share repurchase program.
Here is what Baron FinTech Fund has to say about Mastercard Incorporated (NYSE:MA) in its Q3 2023 investor letter:
“Performance in Payments was bolstered by gains from Mastercard Incorporated. Shares of global payment network Mastercard were up modestly after reporting a continuation of double-digit earnings growth and resilient payment volumes.”
2. Visa Inc (NYSE:V)
Number of Billionaire Investors: 23
Stifel recently published a list of largest-cap cyclical value stocks that are buy-rated. Stifel believes these stocks are from cyclical value industries that will outperform in the first half of 2023. Visa Inc (NYSE:V) made it to the list of these stocks.
Berkshire Hathaway owns a $1.91 billion stake in Visa Inc (NYSE:V).
Ensemble Capital Management made the following comment about Visa Inc. (NYSE:V) in its Q3 2023 investor letter:
“Mastercard is a company that pretty much everyone has heard of. In fact, when we meet with Ensemble’s clients, we occasionally tell them that we’re nearly certain that they are carrying a Mastercard in their wallet or purse as we speak, and if not, they are carrying a Visa Inc. (NYSE:V). Most people carry both.
People carry Mastercard and Visa because they are accepted nearly everywhere in developed markets. And they are accepted in most emerging economies, at least at locations where higher income people spend money. As a shopper you can show up at a bodega in Peru, a high end hotel in Tokyo, a truck stop in Alabama, or an ice cream cart in Milan, show them a piece of plastic and they’ll let you walk away with goods and services without any worry that they aren’t going to get paid…” (Click here to read the full text)
1. Amazon.com Inc (NASDAQ:AMZN)
Number of Billionaire Investors: 33
Amazon.com Inc (NASDAQ:AMZN) tops our list of the stocks Warren Buffett and other billionaires are bullish on since 33 billionaire-led hedge funds had stakes in the ecommerce giant Amazon.com Inc (NASDAQ:AMZN) as of the end of the third quarter.
Warren Buffett owns a $1.3 billion stake in Amazon.com Inc (NASDAQ:AMZN).
Here is what White Brook Capital has to say about Amazon.com, Inc. (NASDAQ:AMZN) in its Q3 2023 investor letter:
“The magnificent seven, that underpin the S&P 500 performance, which includes Amazon.com, Inc. (NASDAQ:AMZN), now comprise almost 30% of the market capitalization of the S&P500. At least three of the seven stocks have heightened downside risk and suffer from already high penetration, weakening end markets, competitive risk, and lofty valuation. They have been remarkably resilient to increased interest rates and the potential for slowing growth.”
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