Warren Buffett touts US stock holdings, Japan investments

Published On Feb 24, 2025, 7:00 AM

Warren Buffett's annual letter to Berkshire Hathaway shareholders highlighted his continued confidence in core U.S. holdings such as Apple, American Express, Coca-Cola, and Moody's, emphasizing their high returns on equity. Buffett also mentioned increasing investments in Japan, pointing to a well-established strategy in large companies mirroring Berkshire's own model. Additionally, Berkshire has acquired nearly 6 million shares of Constellation Brands, indicating confidence in the firm's future despite political uncertainties. In contrast, Buffett has exited investments in popular S&P 500 ETFs like Vanguard’s and SPDR's. The letter suggests a focus on quality investments and hints at potential opportunities in leveraged and inverse ETFs related to Berkshire.

Stock Forecasts

AAPL

Positive

Given Buffett's positive remarks about his U.S. core holdings and the acquisition of Constellation Brands, we can anticipate potential upward momentum in these stocks, especially as they continue to perform well for their market positions.

KO

Neutral

With Buffett signaling his focus on companies with strong fundamentals, investing in Coca-Cola, while facing minor fluctuations, may still yield stability, although its recent performance suggests caution.

VOO

Negative

Given Buffett's shift away from S&P 500 ETFs, there may be declining interest in these as investment vehicles, which could pressure their prices in the short term despite the broader market's strength.

BRKU

Positive

The investment in BRKU reflects a bullish sentiment on Berkshire itself, predicting possible upgrades as the market reacts to Buffett's positions and strategies.

BRKD

Negative

BRKD could attract caution from investors as it may reflect positioning against further declines in Berkshire’s stock, indicating a possible negative trend forecast as market uncertainty grows.

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