The Best Warren Buffett Stocks to Buy This Summer
The reputation Mr. Warren Buffett has created over the past 50 years and the results his investments have yielded are astounding. Buying his first stocks at 11 years old, Mr. Buffet went ahead to turn a textile mill that was falling apart into a successful company that would be used to acquire and invest in other businesses, making it one of the world’s most successful holding companies today. This is why, now and then, when the market becomes very turbulent, relying on the guidelines of the Oracle of Omaha in investing comes in handy.
Many anticipate a much-needed correction will occur in the summer with the stock market extremely overbought. So, to come out on top of the stock market in a seemingly scary summer, here are the best stocks that Mr. Warren Buffet and his holding company, Berkshire Hathaway, have invested in that you, too, can buy this summer.
Bank of America (BAC)
Bank of America is an American multinational investment bank that offers numerous banking and financial products and services to individuals, small and middle market enterprises, institutional investors, corporations, and governments in the United States and globally. In Q1 of 2024, the bank’s financial performance exceeded Wall Street expectations, reporting increased net interest and non-interest income, an adjusted EPS of 83 cents, and strong 2.48% dividends.
With over 66 million loyal customers, the corporation has a healthy capital position. Combine this with the resilient U.S. economy and current heightened interest rates, and you create great top-and-bottom-line growth opportunities for BAC, with further market share gains expected. Warren Buffett owns over 1 billion shares in Bank of America, and this represents his second-largest holding in his investment portfolio. You, too, can invest now and reap hugely from Bank of America's success in the coming years.
Chubb
Chubb is a leading Switzerland-based property and casualty insurance company. The corporation’s Q1 2024 reports showed a 20.3% growth in core operational income, a 14.2% surge in net premiums to more than $12 billion, and a 91 cents per quarter rise in dividends. Chubb has recorded annual dividend increases for the past 31 years. Its current $3.64 annual share price and dividend yield of 1.3% closely approximate the S&P 500 average.
Chubb has created a healthy profitability environment through strategic price adjustments and increased premiums, guaranteeing investors great rewards. Thanks to the almost 26 million shares owned, Buffet's Berkshire Corporation has a $6.7 billion stake in the insurance giant.
In the wake of the stock market correction, Chubb shares are the ideal low-cost, growing investment to look into. Remember, when it comes to investing in stocks, getting your timing right and knowing the facts is as important as luck's role in cashing out when playing online slots – it is the determining factor.
Occidental Petroleum (OXY)
Occidental Petroleum is one of the largest and oldest suppliers of oil and gas companies in the U.S. In the recent past, the energy giant has shifted gears towards sustainable energy, employing its cutting-edge carbon capture technology in line with global calls for green energy. Despite the turbulence in the energy market environment, Occidental Petroleum has consistently posted strong bottom-line results and maintained its margins. Additionally, thanks to the ongoing recovery in global energy prices, the company’s future looks stable.
Occidental Petroleum makes up 4.4% of Buffet’s Berkshire investment portfolio, having consistently purchased more shares in the past two years. In June 2024, the corporation bought an additional 3 million shares, increasing its stake to almost 29%, according to an SEC filing. OXY continues to pay out healthy dividends whose yields are upwards of 1.41%, making it a safe stock to invest in.
Coca-Cola Co.
Coca-Cola is the world’s largest beverage company and Warren Buffet’s largest and oldest holding in his investment portfolio. Buffet owns 400 million shares worth about $24 billion, 9.3% of the float, and 6.6% of the company’s portfolio. Coca-Cola offers consumers more than 500 brands of sparkling beverages, ready-to-drink coffees, and juice drinks. Its clients in over 200 countries consume almost 1.9 billion servings of its products daily. The company’s portfolio features 20 billion-dollar brands and investors are paid a very dependable 3.06% in dividends.
Coca-Cola shares have stagnated for the past two years, creating the best buying opportunity for new investors. The company has an impressive capital return program, and its brands remain strong, with a solid growth outlook. Coca-Cola has had an unbeatable record of raising its annual dividends for 62 years in a row. Since Berkshire Hathaway's last big stock purchase in 2012, the beverage company has delivered 138% in total returns, making it a lucrative stock to invest in.
Mr. Warren Buffett is a legendary investor whose current net worth is $135 billion and is among the top ten ratchet people in the world. As you consider the best Warren Buffett stocks to buy this summer, your investment may also propel you to success in time.
