It would be a major deficiency to say that Warren Buffett made a name for him in the investment world. Buffett, who is 94 years old and plans to retire at the end of the year Berkshire Hathaway A trillion -dollar company and a personal 12 numbers have collected net value.
The continuous success of Buffett and Berkshire Hathaway is caused by many investors to closely follow their movements, hoping to inspire. Although an average investor and a trillion -dollar company do not share the same goals or risk tolerance, there are benefits to be gained by paying attention to the company’s portfolio.
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Two stocks Berkshire Hathaway’s portfolio Can make great investments Amazon(NASDAQ: AMZN) And Coca(NYSE: KO). If you have $ 1,000 you can invest, consider putting $ 500 in each. This will give you opportunities for growth and reliable dividend income.
Amazon was a stock that Buffett, of course, did not want to invest – and Berkshire Hathaway wished to invest earlier. Amazon was a poster for growth stocks with an increase of 11.750% in the last 20 years. S&P 500 Around 420 %.
Amazon has a strict grip in the e-commerce industry, but it has expanded far beyond delivering things to you in less than two days. He grew up to be one of the more important holdings in the world of technology.
The main growth driver cloud platform for predictable future Amazon Web Services (AWS). One of the pioneers of cloud computing and global leader since its release. There is a 30 % market share, Microsoft Azure and AlphabetGoogle Cloud, which is 21% and 12% respectively.
When e-commerce generates revenue for Amazon, AWS makes profit. AWS’s operating revenue (profit from core operations) was about $ 3.08 billion in the first quarter of 2020 (in the first quarter (first quarter). This helped to increase Amazon’s overall operating revenue almost 200% during this period.
Amazon is diligent in expanding its business and diversifying income flows, better positioning for long -term growth. In addition to e-commerce and cloud computing, advertising, entertainment, health, logistics and a few industries that can be scaled over time have hands.
Today, an investment of $ 500 in Amazon can go a long way as it continues to expand.
Coca-Cola is one of the oldest and largest holdings of Berkshire Hathaway. It goes down to two reasons – competitive ditch and reliable dividend.
It is due to the company’s competitive Hendek brand and access. Azsa, brands can be known as Coca-Cola worldwide. Therefore, he has been able to maintain his dominance and success for decades.
Even with the ultra success of the flagship soda, Coca-Cola was diligent to expand its offers and to adapt to changing consumer preferences. Various waters, teas, plant -based drinks and even alcoholic beverages ready to drink are added to the portfolio and further strengthen its position in the beverage industry.
Coca-Cola’s products sells independently of economic conditions. It is not important to have an explosion, stagnation or a place between them-people will find a way to buy their favorite Coca-Cola product. This gave the company’s pricing power to help to remain healthy and flow in cash.
You should not invest in Coca-Cola by waiting for the appreciation of Amazon-like stock prices, but you can wait consistent and reliable dividend income. Coca-Cola’s dividend return is twice the average of the S&P 500 routinely, and the company has increased annual payment for 63 years.
There is one reason why Berkshire Hathaway never cuts Coca-Cola stake. With 400 million shares, Berkshire Hathaway will receive over $ 800 million from Coca-Cola this year.
Of course, you won’t have so many shares, but today you can invest $ 500, you can start establishing a good share in Coca-Cola in the long run. This is true, especially if you are re -investing your dividends to accumulate more shares.
Coca-Cola is a share I have planned to keep for decades.
Imagine this before you buy a share in Amazon:
. Motley Fool Stock Advisor Analyst team determined what they believed Top 10 stocks For investors to buy now… And Amazon was not one of them. 10 shares that make the cut can produce monster returns in the coming years.
When think Netflix It made this list on December 17, 2004 … If you invested $ 1,000 during our advice, 652,133 dollars exist!* Or when Nvidia It made this list on April 15, 2005 … If you invested $ 1,000 during our advice, You have $ 1,056,790!*
Now worth drawing attention Stock consultant Total average return 1,048A performance that breaks the market compared to 180% for -S & P 500. Don’t miss the last 10 lists, it can be used when you join Stock consultant.
Suzanne Frey, who is a manager in the alphabet, is a member of the Board of Directors of Motley Fool. John Mackey, former CEO of Whole Foods Market, a subsidiary of Amazon, is a member of the Board of Directors of Motley Fool. Stefon Walters It has positions in Coca-Cola and Microsoft. Motley Fool, Alphabet, Amazon, Berkshire Hathaway and Microsoft positions and proposes. Motley Fool recommends the following options: Long January 2026 Calls of $ 395 in Microsoft and short January 2026 Calls $ 405 in Microsoft. Motley Fool’s Explanation policy.
