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Sunday, March 03, 2013

Warren Buffett's Recent Stock Purchases

Warren Buffett, head of Berkshire Hathaway (BRK-A) (BRK-B) and one of the top four richest people in the world, is considered one of the top investors of all time. In January of 1990, Berkshire Hathaway was trading for 7455 a share. It is now, 152,750, an average annual return of almost 14%.

One technique that investors use is following in the footsteps of Buffett; in other words, check to see what companies Warren Buffett is acquiring and buying the same stocks. Let's look at Buffett's latest acquisitions.

Last quarter, Berkshire Hathaway bought Archer Daniels Midland (ADM), the farm products company that markets protein meal, vegetable oil, corn sweeteners, flour, biodiesel, ethanol, and other food items. The stock trades at 15 times earnings and pays a decent yield of 2.4%. Quarterly dividends were increased last month by 8.6%. Earnings for the latest quarter skyrocketed 537.5% year-over-year, on a 6.9% rise in revenues.

Verisign (VRSN), the Internet infrastructure company, is another recent Buffett purchase. The stock trades at 24 times earnings. Earnings were up 96.3% for the latest quarter, n a 13% increase in sales. The company does not pay a dividend.

Buffett also owns Kraft Foods Group (KRFT), which owns such brands as Kraft, Maxwell House, Oscar Mayer, Planters, and JELL-O. The stock has a price to earnings ratio of 18 and yields 4.1%. Earnings were down 77.8% for the latest quarter, on a 10.7% drop in revenues.

If you want a free list of Warren Buffett Berkshire Hathaway stocks, most of which pay dividends, go to WallStreetNewsNetwork.com, which shows the stock ticker symbols, price to earnings ratios, and yields.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

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