Trade Like Buffett With These Five Stocks
On Monday, Warren Buffett told CNBC he would add to two of his long-term holdings, but did not share the companies’ names. In response, the author of the book “Trade Like Warren Buffett” listed five companies and holdings of Berkshire Hathawaythat investors could purchase to benefit from the Oracle of Omaha’s investing prowess.
“I would look at what Warren Buffett is buying,” said James Altucher, author and managing director of Formula Capital. “He’s buying IBM, Intel, DirecTV, Wells Fargo, and CVS. These are his recent shares where he’s added significant stock, and I would buy those.”
Altucher told CNBC’s “Squawk on the Street” that this is how he would benefit from Buffett’s intelligence without paying him for it.
Buffett said Berkshire Hathaway spent about $60 million on the two stocks on Friday and planned to buy more on Monday.
“Clearly, he’s making a bet on technology, which he has never done before,” he said about Buffett’s Intel and IBM holdings.
“Wells Fargo is the one bank that he always thinks is the best bank out there and CVS because of aging boomers, including himself,” Altucher added. “CVS is going to be servicing their needs.”
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James Altucher does not own any of the stocks mentioned in this article.
Follow Katie Little on Twitter @katie_little.