icon
icon
icon
icon
Upgrade
icon

5 Stocks Warren Buffett Is Betting Big On for 2025

AInvestMonday, Jan 6, 2025 5:13 am ET
4min read


As we step into the new year, investors are eager to know which stocks the Oracle of Omaha, Warren Buffett, is betting big on. Berkshire Hathaway's CEO has a track record of making shrewd investments, and his portfolio's performance reflects his ability to identify undervalued opportunities. Let's take a look at five stocks that Buffett is bullish on for 2025.



1. Apple (AAPL):
* Berkshire Hathaway's largest holding, with a stake worth over $150 billion.
* Apple's strong brand, innovative products, and extensive ecosystem provide stability and predictability.
* The company's consistent growth and significant cash flow generation make it an attractive long-term investment.
2. American Express (AXP):
* Buffett's second-largest holding, with a stake worth over $20 billion.
* American Express' unique business model, strong brand recognition, and robust earnings growth make it an attractive investment.
* The company's forward P/E ratio of 20 and dividend yield of around 1.5% indicate an attractive valuation.
3. Bank of America (BAC):
* Buffett's third-largest holding, with a stake worth over $15 billion.
* Bank of America's diversified revenue streams, strong brand, and consistent earnings growth make it a solid investment.
* The company's forward P/E ratio of around 10 and dividend yield of around 1.5% suggest an attractive valuation.
4. The Coca-Cola Company (KO):
* Buffett's fourth-largest holding, with a stake worth over $10 billion.
* Coca-Cola's strong brand, global distribution network, and consistent earnings growth make it a reliable investment.
* The company's forward P/E ratio of around 20 and dividend yield of around 3% indicate an attractive valuation.
5. Chevron (CVX):
* Buffett's fifth-largest holding, with a stake worth over $10 billion.
* Chevron's strong operational performance, financial discipline, and diversified portfolio of assets make it a stable investment.
* The company's forward P/E ratio of around 10 and dividend yield of around 5% suggest an attractive valuation.



These five stocks align with Buffett's investment philosophy of stability, predictability, and consistent growth. Their unique business models and competitive advantages contribute to their stability and predictability, making them attractive long-term investments. Additionally, their historical performance and dividend payouts reflect consistent growth and value creation, further supporting their potential as strong investments in 2025.
Disclaimer: the above is a summary showing certain market information. AInvest is not responsible for any data errors, omissions or other information that may be displayed incorrectly as the data is derived from a third party source. Communications displaying market prices, data and other information available in this post are meant for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of any security. Please do your own research when investing. All investments involve risk and the past performance of a security, or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk, it does not assure a profit, or protect against loss in a down market.