Warren Buffett

Warren Buffett

Last Update: 04-25-2017

Number of Stocks: 47
Number of New Stocks: 3

Total Value: $147,985 Mil
Q/Q Turnover: 10%

Countries: USA
Details: Top Buys | Top Sales | Top Holdings  Embed:

Warren Buffett Watch

  • Phillips 66 Reports Strong 1st Quarter After Disappointing 2016

    Phillips 66 (NYSE:PSX) released its first-quarter 2017 earnings before the market opened on April 28, reporting gains after a disappointing year in 2016.


    The company beat on earnings and revenue. Adjusted earnings of 56 cents came in far above estimates of three cents. Likewise, revenue of $23.7 billion surpassed estimates of $22.3 billion.

      


  • Buffett and Graham on Risk

    Trying to define and quantify investment risk is a difficult task for any investor or trader. Calculating the risk of a portfolio at any given point in time relies on many different variables, which ultimately mean nothing if calculated with incorrect data, a data sample that is too small or if humans just decide to act irrationally. For value investors, however, trying to define investment risk should be relatively easy compared to the rest of the market participants.


    Rather than trying to determine risk by using complicated computer models, value investors should be assessing individual company risk according to the risk of permanent capital impairment, not stock volatility. To help explain the value investor's concept of risk, I have drawn together some quotes from two of the most famous value investors of all time, Warren Buffett (Trades, Portfolio) and Benjamin Graham.

      


  • What It Takes to Succeed in Value Investing

    A recent article published on Morningstar.com considers the views of three professional investors, who debated at the 2017 Morningstar Investment Conference the skills required to be able to succeed in value investing.


    The trio has five main points to consider for any investors who are thinking about getting into (or investors who are already investing according to a value strategy) the world of value. The five key themes are as follows:

      


  • Procter & Gamble Turnaround Gains Momentum, Fuels Double-Digit Growth

    (Published by Bob Ciura on April 28)


    Procter & Gamble Co. (NYSE:PG) is a rare stock because of its tremendous dividend history.

      


  • Focus on the Numbers, Not Predictions

    Benjamin Graham is the godfather of value investing. Over many decades, his strategy of buying the market’s cheapest stocks achieved outstanding results.


    Recently however, value investing has taken on a new form. Most people who call themselves value investors today do not use Graham’s relatively straightforward deep-value strategy. Instead, they rely on a combination of complicated valuation metrics to arrive at an estimate of intrinsic value.

      


  • It Takes 10 Years to Become a Good Investor

    Investing is not a precise science. Rather, it is an art. And it takes years to build up enough experience to be able to claim you have mastered the art (although it is arguable that it is never possible to master investing). How much time is required to learn the art? It depends on how much you immerse yourself in the subject. But one of history’s most coveted value investors, Walter Schloss, believes it takes at least 10 years, in the beginning, after which you can start to build out your experience.


    As mentioned above, Schloss is one of history’s most coveted value investors. He worked with Benjamin Graham during the early part of his career and followed Graham’s deep-value strategy for the whole of his life, producing staggering returns for his investors at the same time. Schloss averaged a 15.3% compound return over the course of four and a half decades, versus 10% for the S&P 500 over the same period. Even Warren Buffett (Trades, Portfolio) tipped his hat to this great value investor, writing in 1994:

      


  • Two Warren Buffett Stocks Fall Near Lowest Prices in a Year

    An eight-year bull market has found many investors searching harder for underpriced securities, with First Eagle senior adviser Jean-Marie Eveillard telling GuruFocus recently, “There are few opportunities, but still there are some.” This week, several may reside in Warren Buffett (Trades, Portfolio)’s portfolio.


    Prices in Buffett’s portfolio largely mirror the market. The 175% rise in the S&P 500 in the past nine years has lifted 19 of his 47 holdings, or 40%, to within 5% of their highest prices in a year. In the index, 155 of 500 companies, or 31%, trade within that range, according to data. In an even closer match, 4% of companies in the S&P 500 trade within 5% of their one-year low, and 4% of Buffett’s holdings trade in that range.

      


  • Ken Fisher Buys Vodafone

    Guru Ken Fisher (Trades, Portfolio) is a San Francisco native who learned his investment strategies under his father Philip A. Fisher's guidance. Ken Fisher's father wrote the book "Common Stocks and Uncommon Profits."


    Legendary investor Warren Buffett (Trades, Portfolio) said he attributes 15% of his investment style to Philip A. Fisher and the other 85% to the father of value investing, Benjamin Graham.

      


  • Warren Buffett Adds to Liberty SiriusXM

    Warren Buffett (Trades, Portfolio) increased his holding of Liberty SiriusXM Group (NASDAQ:LSXMK)(NASDAQ:LSXMA) on April 24.


    The Berkshire Hathaway (NYSE:BRK.A)(NYSE:BRK.B) CEO purchased nearly 5 million Class C shares for an average price of $39.95 per share. He bought over 3.09 million Class A shares for $39.96 per share. He now owns a total of 27.2 million Class C shares and 13.2 million Class A shares.

      


  • Breaking Down the 2-Stage Dividend Discount Model for Beginners


    Dividends are the best friends an investor has. They are the gifts that keep on giving, and finding a company that pays them consistently over an extended period of time is a great way to build your wealth. Determining the intrinsic value of a dividend-paying company is paramount to investing with a margin of safety. This helps protect our investments and grow our wealth. Using the Dividend Discount model is an excellent way to find that intrinsic value, and the use of the Dividend Discount Two-Stage model is a fantastic way to get a more precise view of that value.

      


  • Warren Buffett Explains Why He Doesn't Use Twitter and Emails

    I was re-watching the interview Warren Buffett (Trades, Portfolio) did with CNBC earlier this year and at the very end of the interview, I bumped into a few wonderful pieces of life advice from him that explained why he doesn’t use email and twitter.


    “There's two things I was told in life many, many years ago that turned out to be terrific advice. One is to praise by name and criticize by category. Somebody told me that 40 years ago and Tom Murphy 40 years ago said, ‘Warren, you can always tell somebody to go to hell tomorrow. You haven't lost the option.’ Both of those pieces of advice have been very good. And I would say that both email and Twitter really can cause you to stray from that very easily 'cause if you can just whack out something-- it's very easy to tell somebody to go to hell in ten seconds if you get mad at 'em, or. And-- the very act of having that available instead of writing a letter or doing something of the sort, I think has made a lot more things come outta the-- that people shouldn't have said. I think they'd do better following my philosophy, but I think it's harder to do that-- if you can tweet something out in five seconds, or go to email and - do the same thing.”

      


  • Charlie Munger: Loading Up on Leverage

    Charlie Munger (Trades, Portfolio) is well known today as the vice chairman of Berkshire Hathaway (NYSE:BRK.A)(NYSE:BRK.B) and Warren Buffett (Trades, Portfolio)’s right-hand man. He’s also earned a reputation in his own right for his intellect, investing prowess and desire to speak his mind.


    But while most writing on Munger today concentrates on recent history, there is little discussion about Munger’s early days even though a lot can be gleaned from his early investing career.

      


  • Nuggets From Prem Watsa

    Every March, Prem Watsa (Trades, Portfolio) of Fairfax Financial Holdings Ltd. (TSX:FFH) releases his annual letter to shareholders.


    In it, he addresses the successes and failures of the companies within the Fairfax portfolio, along with other issues all investors face, including asset bubbles and economic circumstances. And, with those comments there are usually some quotable quotes and sprinklings of humor.

      


  • Is High-Risk Borrowing a Threat to Financial Markets?

    In 2008, the global financial markets experienced one of the most damaging crises in history. It took at least half a decade for major markets like the U.S. to recover following a series of quantitative easing schemes. While there were several forces behind the collapse of the financial markets, one of the most notable ones was defaulting mortgage borrowers. These defaults followed the housing boom in the mid-2000s.


    It has taken the housing market nearly a decade to reach levels close to the highs of the pre-2008 to 2009 financial crisis, and now some are suggesting there could be a few housing bubbles around the world that are about to burst. In response to these speculative fears, banks are being exceedingly cautious when issuing loans, especially to consumers and small businesses. This has forced some consumers and businesses to go scavenging for loans in alternative markets where they risk falling into the traps of illegal lenders.

      


  • No One Should Be Buying Berkshire Hathaway

    I'm a huge fan of Warren Buffett; since starting my professional career in 2001, I've studied his investment deals and methodology extensively, even employing leveraged arbitrage in a very similar fashion.


    In fact, anyone reading this has probably analyzed Berkshire Hathaway’s (NYSE:BRK.A)(NYSE:BRK.B) stock based on both brands and financial performance, right? Please let me know your own thoughts on its value.

      


  • IBM Reports 1st Quarter Earnings Results

    International Business Machines Corp. (NYSE:IBM) reported its first quarter earnings results after the market’s close on April 18. Revenue for the quarter was $18.16 billion, missing estimates and decreasing -2.8% from the comparable quarter. Earnings per share were $2.38, beating estimates by three cents and increasing from $2.35 in the comparable quarter.


      


  • The Railroads in Buffett and Munger's Own Words

    In my previous article, I put together Warren Buffett (TradesPortfolio) and Charlie Munger (TradesPortfolio)'s investment rationale for Apple (NASDAQ:AAPL) and airlines citing their own words. Somebody came up with the happy idea of compiling original Buffett and original Munger for railroads. In today’s article, I’ll share what I found – the comments they made about the railroads when they first made the purchase a couple of years ago.


    Buffett on the railroads during an interview with Charlie Rose: (Link)

      


  • Is Cardinal Health a Better Bargain Than Ever?

    (Published on April 18 by Nicholas McCullum)


    The Standard & Poor's 500 is trading at a historically expensive valuation, propped up by low interest rates, quantitative easing and positive investor sentiment. This has made it difficult to find bargains in today’s stock market.

      


  • The Benefits of a Concentrated Portfolio

    Many of the world’s best investors got where they are today by using a concentrated portfolio approach. Warren Buffett (Trades, Portfolio) and Charlie Munger (Trades, Portfolio) are primary examples.


    But while these investors have been able to make billions of dollars using such an approach, it is not suitable for all investors. Indeed, everyone has heard of Buffett and Munger, but how many other thousands of investors are there out there who tried to use such an approach but failed?

      


  • Time to Invest in Facebook

    Facebook (NASDAQ:FB) is a high-growth stock with the opportunity to create massive value for potential investors. Value investors have to be able to look beyond price-earnings (P/E) ratios and look at the underlining economics of the business.


    Some of Warren Buffett (Trades, Portfolio)’s best investments were when he paid four times net tangible asset or 20-plus times P/E for a business. Clearly Buffett and Charlie Munger look beyond P/E ratios.

      


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