buffett stocks 2015

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Text Text How Warren Buffett’s Stocks Performed In 2015

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Page 1: Buffett stocks 2015

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How Warren Buffett’s Stocks Performed In 2015

Page 2: Buffett stocks 2015

• As of Sept. 30, 2015, Berkshire Hathaway owned 46 different common stocks.

• Here’s a look at how the 20 largest stock positions performed in 2015, in order

from the best performers to the worst.

Page 3: Buffett stocks 2015

1. VeriSign (NASDAQ: VRSN)

• Although it was the top performer of 2015, VeriSign has lost 15% of its value in January 2016.

2015 Total Return: 52.8%

Page 4: Buffett stocks 2015

2. Visa (NYSE: V)

• In contrast to rivals, Visa was able to grow its net income by 12% year over year.

2015 Total Return: 17.9%

Flickr user reynermedia

Page 5: Buffett stocks 2015

3. Charter Communications (NASDAQ: CHTR)

• In 2015, Charter entered a deal to merge with Time Warner Cable.

2015 Total Return: 10.0%

Source: Wikipedia user Dwight Burdette

Page 6: Buffett stocks 2015

4. AT&T (NYSE: T)

• Much of AT&T’s 2015 return came from its dividend, which is over 5%.

2015 Total Return: 7.4%

Flickr user Mike Mozart

Page 7: Buffett stocks 2015

5. Moody’s Corp. (NYSE: MCO)

• Buffett loves Moody’s for its industry’s high barrier to entry and relatively low debt levels.

2015 Total Return: 6.0%

Page 8: Buffett stocks 2015

6. Coca-Cola (NYSE: KO)

• Buffett loves Coca-Cola for its easy-to-understand business model, and once said that a “ham sandwich” could run the company.

2015 Total Return: 5.3%

Wikipedia user Ben Franske

Page 9: Buffett stocks 2015

7. Verizon Communications (NYSE: VZ)

• Like AT&T, much of Verizon’s return comes from its high dividend.

2015 Total Return: 3.2%

Flickr user Mike Mozart

Page 10: Buffett stocks 2015

8. General Motors (NYSE: GM)

• If low oil prices persist, GM’s high-margin trucks and SUVs could get a sales boost.

2015 Total Return: 1.7%

Wikipedia user Thesupermat

Page 11: Buffett stocks 2015

9. Phillips 66 (NYSE: PSX)

• One of the few oil stocks in positive territory for 2015, Phillips actually benefits from low oil prices.

2015 Total Return: 1.6%

Flickr user Mike Mozart

Page 12: Buffett stocks 2015

10. Kraft Heinz (NYSE: KHC)

• This figure only reflects about six months’ performance.

• The company was formed in mid-2015 from the merger of H.J. Heinz and Kraft Foods.

2015 Total Return: 0.4%

Flickr user Mike Mozart

Page 13: Buffett stocks 2015

11. Wells Fargo (NYSE: WFC)

• A longtime favorite of Buffett, Wells Fargo was dragged down by the weakness of the financials sector in 2015.

2015 Total Return: -2.4%

Wikipedia user XnatedawgX

Page 14: Buffett stocks 2015

12. US Bancorp (NYSE: USB)

• US Bancorp is consistently one of the most profitable and efficient banks in the United States, but it suffered from the same industry-wide headwinds that affected Wells Fargo.

2015 Total Return: -2.6%

Wikipedia user Ricardo630

Page 15: Buffett stocks 2015

13. Precision Castparts (NYSE: PCP)

• Precision Castparts was down significantly in 2015 until Berkshire announced it was buying the entire company.

2015 Total Return: -2.6%

Page 16: Buffett stocks 2015

14. Goldman Sachs (NYSE: GS)

• Buffett bought shares of Goldman Sachs after the financial crisis hit.

• Despite this year’s loss, Buffett’s investment has produced excellent returns.

2015 Total Return: -6.1%

Page 17: Buffett stocks 2015

15. DaVita HealthCare Partners (NYSE: DVA)

• The aging U.S. population should be a driver of growth for DaVita over the long term.

2015 Total Return: -8.1%

Page 18: Buffett stocks 2015

16. Procter & Gamble (NYSE: PG)

• Procter & Gamble has a wide variety of brands that are well-known around the world.

• Currency headwinds contributed to the poor 2015 performance.

2015 Total Return: -9.3%

Page 19: Buffett stocks 2015

17. Deere & Co. (NYSE: DE)

• Challenging global economic conditions have eroded demand for Deere’s machinery.

2015 Total Return: -11.1%

Wikipedia user Stephan Trebs

Page 20: Buffett stocks 2015

18. IBM (NYSE: IBM)

• The strong U.S. dollar and weak Chinese market contributed to a 12% revenue decline in 2015.

2015 Total Return: -12.3%

Flickr user Patrick

Page 21: Buffett stocks 2015

19. American Express (NYSE: AXP)

• 2015 was a rough year for Amex. The company lost its partnership with Costco as well as a major legal ruling about its merchant relationships.

2015 Total Return: -24.2%

Marcus Quigmire via Wikipedia

Page 22: Buffett stocks 2015

20. Wal-Mart (NYSE: WMT)

• The worst Dow stock of 2015, Wal-Mart is struggling to create decent growth.

2015 Total Return: -26.7%

Wikipedia user Sven

Page 23: Buffett stocks 2015

• As you can see, Buffett’s stock portfolio did not have a great year in 2015, due to

the poor performance of some of its largest holdings.

• In fact, 2015 was a rare year when Berkshire underperformed the market in

a down year for the S&P 500.

Page 24: Buffett stocks 2015

• Most of Buffett’s stocks were affected by the same things that plagued the overall stock market.

• Strong U.S. dollar• Challenging global economic environment• Low interest rates (banks)

• However, some of his largest holdings (like American Express) faced company-specific

headwinds that combined to cause the portfolio as a whole to underperform the market.

Page 25: Buffett stocks 2015