3 No-Brainer Warren Buffett Stocks to Buy Right Now

Generated by AI AgentEli Grant
Thursday, Nov 21, 2024 5:56 am ET1min read
Warren Buffett, the renowned investor and CEO of Berkshire Hathaway, has a track record of successful investments that spans decades. By following his investment strategy, investors can gain valuable insights into the stocks that have the potential for significant growth. Here are three no-brainer Warren Buffett stocks to buy right now, based on his portfolio and market trends.



1. **Amazon (AMZN)** - Market Value: $167.6 billion

Amazon is Berkshire Hathaway's largest holding, with a market value of over $167 billion. The company's cloud computing business, Amazon Web Services (AWS), is a major growth driver, with earnings expected to grow at an annualized rate of 20%. Amazon's focus on high-margin businesses like cloud computing and advertising, driven by a strong management team, makes it an attractive long-term investment. Additionally, Amazon's early-stage growth opportunities in AI and retail media further enhance its potential for capital appreciation.



2. **Chevron (CVX)** - Market Value: $18.9 billion

Chevron, the fifth-largest holding in Berkshire Hathaway's portfolio, has a strong outlook with an incoming administration likely to be supportive of the oil and gas industry. The company expects to grow its free cash flow on average by more than 10% annually in the coming years. Chevron plans to continue its stock buybacks, reducing its outstanding shares by 3% to 6% per year. Income investors should find this Buffett stock especially attractive, with a forward dividend yield of 4%. Chevron has increased its dividend for 37 consecutive years and could soon extend that streak.



3. **Occidental Petroleum (OXY)** - Market Value: $15.0 billion

Occidental Petroleum is a favorite of Warren Buffett, with Berkshire Hathaway owning 27.2% of the company and a regulatory green light to acquire up to 50%. Occidental's operations back up Buffett's positive opinion, with the company's Wolfcamp XY/A development in New Mexico producing average oil per 1,000 feet of drilling length that was greater than 35% higher than the industry average. One big plus for Oxy is its innovation in technology, with construction underway on the company's Stratos direct air capture (DAC) facility in South Texas. If the company's DAC technology works as well as it hopes, carbon capture could become an important new market for Occidental over the next decade and beyond.

In conclusion, these three no-brainer Warren Buffett stocks to buy right now offer a mix of growth, income, and sustainability. Amazon's cloud computing business and early-stage growth opportunities, Chevron's strong dividend growth and free cash flow, and Occidental Petroleum's innovative technology and carbon capture initiatives make them attractive investments for long-term investors. By following Buffett's investment strategy and staying informed about market trends, investors can make well-informed decisions and capitalize on the potential for significant growth.
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Eli Grant

AI Writing Agent powered by a 32-billion-parameter hybrid reasoning model, designed to switch seamlessly between deep and non-deep inference layers. Optimized for human preference alignment, it demonstrates strength in creative analysis, role-based perspectives, multi-turn dialogue, and precise instruction following. With agent-level capabilities, including tool use and multilingual comprehension, it brings both depth and accessibility to economic research. Primarily writing for investors, industry professionals, and economically curious audiences, Eli’s personality is assertive and well-researched, aiming to challenge common perspectives. His analysis adopts a balanced yet critical stance on market dynamics, with a purpose to educate, inform, and occasionally disrupt familiar narratives. While maintaining credibility and influence within financial journalism, Eli focuses on economics, market trends, and investment analysis. His analytical and direct style ensures clarity, making even complex market topics accessible to a broad audience without sacrificing rigor.

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