AAPL, AXP, BAC, KO, CVX: Buffett’s Berkshire Bets Big on These 5 Stocks

Investment guru Warren Buffett’s Berkshire Hathaway (NYSE:BRK.A) (NYSE:BRK.B) held its annual shareholder meeting on Saturday, May 3. Tens of thousands of shareholders assembled in Omaha, Nebraska, for one of the most sought-after events in the investment world. The 94-year-old billionaire investor, Buffett, remains the chairman of this massive conglomerate, which runs successful insurance businesses and holds significant stakes in attractive value stocks. However, he did state at yesterday’s meeting that he plans to step down from his position by year’s end.

Investors were keen to hear the legendary investor’s views on the broader economy, especially amid increasing fears of a recession triggered by Trump’s tariffs. Indeed, he made it clear that he dislikes tariffs, saying, “Trade should not be a weapon.” He also remarked that he is unconcerned about recent market volatility. Investors can stay abreast of Buffett’s portfolio moves using TipRanks’ Hedge Fund page on Warren Buffett.

Decoding Buffett’s 5 Big Bets

Buffett has long been a value investor, seeking investments in quality companies with competitive moats. The stock prices of these companies are often undervalued compared to the businesses’ earnings, assets, and overall financial strength. Buffett typically buys shares in these companies at a discount to their intrinsic value and holds them for the long term, until the market realizes their true value.

With this background in mind, let’s decode Buffett’s five biggest bets as of March 31, 2025.

Apple Stock (AAPL) – 23.2%  

Although Buffett reduced a significant stake in Apple during the fourth quarter of Fiscal 2024, the iPhone maker still remains the top stock on Berkshire’s portfolio. As of the end of March, Apple accounted for 23.2% of Berkshire’s total portfolio, with 300 million shares. Berkshire’s Apple stake stands at a meager 2%, and at the current stock price, it is valued at $63.99 billion.

Notably, Apple has found itself in the crosshairs of the intensifying U.S.-China trade war. The tech giant reported better-than-expected results for its fiscal second quarter on May 1. Despite the uncertainty surrounding Trump’s tariffs, CEO Tim Cook remains “confident” on navigating the company successfully through the storm.

American Express (AXP) – 14.7%

Interestingly, Buffett has not sold a single share of American Express since his first investment in the card processor back in 1991. As of March, AXP made up 14.7% of the portfolio, with 151.61 million shares worth $40.71 billion. The massive investment reflects a 21.6% stake in the credit card giant.

For one, AXP is a consistent dividend-paying stock, offering a current yield of 1.05%. American Express also outpaced Q1FY25 results, driven by continued strong spending from affluent cardholders.

Coca-Cola (KO) – 10.3%

Coca-Cola is one of the world’s largest non-alcoholic beverage makers and a Dividend King. It has raised its dividend for 62 consecutive years. Buffett made one of his earliest stock purchases of Coca-Cola in 1988, and also has not sold a single share of the beverage king since. As of March, KO accounted for 10.3% of Berkshire’s portfolio, with 400 million shares valued at $28.51 billion.

Buffett loves Coca-Cola for its well-established and time-tested business model, underpinned by strong pricing power and brand loyalty. KO stock offers an above-industry-average dividend yield of 2.71%, making it an attractive stock to hold for the long term. Coca-Cola also beat analysts’ estimates on both revenue and earnings and provided guidance that came in above expectations.

Bank of America (BAC) – 9.9%

Bank of America is also one of Buffett’s most favored stocks. As of March, Berkshire owned 680.23 million shares of BAC, representing a 9% stake, while the bank accounted for 9.9% of Berkshire’s total equity portfolio, valued at $27.32 billion.

The global banking giant is known for its disciplined lending practices, making it one of the safer financial stocks to invest in. BAC benefits from a well-diversified revenue stream that spans consumer banking, wealth management, and investment banking. Plus, the bank boasts a robust tier 1 capital ratio of more than 11%, making it strong enough to weather economic downturns.

Chevron (CVX) – 5.9%

Chevron is one of the more recent additions among Buffett’s top five holdings. Buffett first purchased shares of the energy major in 2020, at the height of the COVID-19 pandemic. As of March, CVX made up 5.9% of Berkshire’s portfolio, with 118,61 million shares worth $16.16 billion. Alternatively, Berkshire has a 6.8% stake in Chevron.

As an oil and gas company, Chevron pays regular quarterly dividends, offering an above-industry-average yield of 4.74%. Chevron also beat the consensus estimates on earnings but missed revenue estimates in its Q1FY25 results, released on Friday.

Ending Thoughts

These five Warren Buffett stock picks represent attractive opportunities for long-term value investors. Each company exhibits Buffett’s core investment values of having a strong competitive moat, capable management teams, and the ability to generate consistent cash flows. Investors can consider investing in any of these stocks after thorough research.

Investors can use the TipRanks Stock Screener tool to dive deeper into each of these stocks and compare their performance using various TipRanks tools. TipRanks premium tool offerings, including Smart Score and Analyst Price Targets could aid investors in making informative investment decisions.