Warren Buffett is buying again, doubling down on some companies that investors have written off and selling billions in Apple stock, one of his most iconic stories.
Buffet plays the long game focusing on what works, value investing, which is akin to shopping for quality at a discount store instead of splurging at a luxury boutique.
He is not looking for trendy but for timeless value.
The heart of his strategy is the price, and what you pay is the value you get. Put another way, paying a high price for a stock doesn’t mean it is valuable.
“Buffet plays the long game focusing on what works, value investing, which is akin to shopping for quality at a discount store instead of splurging at a luxury boutique”
WEALTH TRAINING COMPANY
Warren Buffett is buying again and looking for companies with low debts and competitive earnings
But only if he can buy these companies’ stocks at a fair price. Once Warren Buffet buys, he holds, patiently waiting for years, decades for his investments to pay off.
Warren Buffett is buying again, but it is not technology and finance that are wetting his buying appetite
He is eying completely different opportunities in lockstep with his investment philosophy.
For example, in Occidental Petroleum Corporation OXY, Warren Buffett bought 405 million worth of stock, pushing the stake to 20% of the company. Buffett’s Hathaway Berkshire now holds approximately 13 billion dollars of stocks in OXY.
“He is eying completely different opportunities in lockstep with his investment philosophy”
RAY DALIO
Some see this as a massive vote of confidence in the future of carbon energy, despite the anti-fossil fuel movement. Fossil fuels and other types of non-carbon energy could coexist well into the future.
OXY experienced volatility in 2024, down almost 25% when Buffett accumulated his stake.
The stock has a price-to-earnings ratio of about 10, making it relatively undervalued compared with energy giants. OXY generated 4.8 billion dollars in free cash flows.
“Meanwhile, Buffett’s Hathaway scooped about five million shares in the satellite company” – Wealth Training Company
Warren Buffett is buying again, and the purchase of Sirius XM Holdings Inc (SIRI) has got market watchers scratching their heads
SIRI is an American satellite and radio service across America.
Without wanting to spin into conspiracies, FEMA and Sirius XM, announced last year an expansion of their relationship that will enhance the connectivity of FEMA’s Integrated Public Alert & Warning System (IPAWS).
SIRIS stock had a rough year in 2024, falling over 60%.
Meanwhile, Buffett’s Hathaway scooped about five million shares in the satellite company.
SIRIS had an operating cash flow of 1.3 billion dollars in the first nine months of 2024.
Moreover, its core business subscriptions to satellite radio bring in recurring revenue, which Buffett values deeply.
SIRIS also has a strong market position in a niche market with room to innovate and adapt.
Warren Buffett is buying again, including Verisign (VRSN)
The above is a digital infrastructure company managing domain name registrations and Internet infrastructure, including overseeing dot com and dot net domains.
VRSN achieved a 60% operating margin, generating 730 million dollars in free cash flow over the past year.
Buffett held stocks in this company for decades.
But in the last quarter, Buffett added 234,000 shares, approximately 45 million dollars.
Warren Buffett is buying again, and these three company stock purchases in OXY, IPAWS and VRSN share a common investment thread
All have strong cash flows, their share price battered, and they haven’t attracted much attention from Wall Street.
