Buffett on Why He Prefers Stocks Over Bonds; Top Purchases: WFC, JNJ, BK

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Nov 17, 2010
Berkshire Hathaway Chairman Warren Buffett explains why he prefers stocks over bonds.



These are Warren Buffett’s top stock purchases did during the third quarter of 2010:

No. 1: Wells Fargo & Company (WFC, Financial), Add: 0.84% of the portfolio - Total: 336,408,845 Shares

Wells Fargo & Company is a diversified financial services company. Wells Fargo & Company has a market cap of $142.3 billion; its shares were traded at around $27.19 with a P/E ratio of 15.7 and P/S ratio of 1.5. The dividend yield of Wells Fargo & Company stocks is 0.7%. Wells Fargo & Company had an annual average earning growth of 5.1% over the past 10 years.



No. 2: Johnson & Johnson (JNJ, Financial), Add: 0.17% of the portfolio - Total: 42,624,563 Shares

Johnson & Johnson is engaged in the manufacture and sale of a broad range of products in the health care field in many countries of the world. Johnson & Johnson has a market cap of $173.92 billion; its shares were traded at around $63.14 with a P/E ratio of 13.3 and P/S ratio of 2.9. The dividend yield of Johnson & Johnson stocks is 3.5%. Johnson & Johnson had an annual average earning growth of 10.8% over the past 10 years. GuruFocus rated Johnson & Johnson the business predictability rank of 4.5-star.



No. 3: BANK OF NY MELLON CP (BK, Financial), Buy: 0.11% of the portfolio - Total: 1,992,759 Shares

Bank of New York is a bank holding company and one of the world's larger financial institutions. Bank Of Ny Mellon Cp has a market cap of $33.62 billion; its shares were traded at around $27.69 with a P/E ratio of 11.9 and P/S ratio of 2.5. The dividend yield of Bank Of Ny Mellon Cp stocks is 1.3%.



Check out Berkshire Hathaway’s complete stock portfolio by clicking on Warren Buffett.