What gold stock does Warren Buffett own?
Given Buffett's aversion to gold, market watchers were understandably surprised when Berkshire Hathaway invested in Barrick Gold (TSX:ABX,NYSE:GOLD) in Q2 2020, paying around US$560 million for about 21 million shares of the major gold miner.
A second stock you'll be jaw-dropped to find as a holding by Warren Buffett's company is gold miner Newmont (NEM 2.36%). New England Asset Management held 37,328 shares of Newmont as of the end of the third quarter. To not beat around the bush, the Oracle of Omaha dislikes gold as an investment.
The current portfolio value is calculated to be $347.36 Bil. The turnover rate is 1%. In Warren Buffett's current portfolio as of 2023-12-31, the top 5 holdings are Apple Inc (AAPL), Bank of America Corp (BAC), American Express Co (AXP), Coca-Cola Co (KO), Chevron Corp (CVX), not including call and put options.
Today, many of the world's wealthiest individuals, such as Ray Dalio, John Paulson, Lord Jacob Rothschild and Naguib Sawiris, recognize the benefits of holding gold as part of their investment portfolios.
Amid this frenzy, one of the most seasoned voices in investment, Warren Buffett, has consistently made clear his stance on the matter: he wants nothing to do with cryptocurrency.
It is clear that Warren Buffett doesn't like gold investments. And the common reason he portrayed is that gold earns nothing if you hold it. The investment decision in Barrick Gold was broadly considered to be made by Berkshire's investment managers Todd Combs or Ted Weschler.
Wellington Management Group LLP is the largest individual Barrick Gold shareholder, owning 100.68M shares representing 5.73% of the company. Wellington Management Group LLP's Barrick Gold shares are currently valued at $1.74B. If you're new to stock investing, here's how to buy Barrick Gold stock.
- Bank of America (BAC), 1.03 billion.
- Apple (AAPL), 905.6 million.
- Coca-Cola (KO), 400 million.
- Kraft Heinz (KHC), 325.6 million.
- Occidental Petroleum (OXY), 248.1 million.
- American Express (AXP), 151.6 million.
- Chevron (CVX), 126.1 million.
- Nu Holdings (NU), 107.1 million.
Warren Buffett was a major shareholders in Walmart until 2016, when he sold most of Berkshire Hathaway's stake in the retailer. At that time, Buffett cited Jeff Bezos and Amazon as a threat that made retail stocks a “tough” game.
Apple is Berkshire's largest public stock holding by far. Berkshire's $155 billion Apple stake is roughly four times larger than its second-largest holding. Buffett first bought Apple shares in the first quarter of 2016, and Apple's stock price is up more than 500% since the beginning of 2016.
What is the biggest gold stock?
Newmont (NEM)
Newmont is the world's largest gold miner and an S&P 500 constituent.
The Royal Family of Saudi Arabia is well known for being unimaginably wealthy and having some of the largest gold reserves in the world.
Some of the most trustworthy and well-known gold dealers include JM Bullion, American Precious Metals Exchange (APMEX) and American Hartford Gold.
The answer to whether Warren Buffett invests in gold is a simple “no.” This probably doesn't surprise the “Oracle of Omaha” followers, as he's been very outspoken and open regarding his investment style, strategies and ownership. He's even spoken directly about whether he would invest in gold numerous times.
At The B Word conference, it became known that the billionaire and head of several companies, in addition to Bitcoin itself, also owns Ethereum.
Warren Buffett Doesn't Own Bitcoin, but His Company Is Betting $1 Billion on This Crypto Stock.
Warren Buffett has been vocal that he feels gold lacks value because it lacks usefulness. A key principle of value investing, as Buffett practices it, says you should only invest in things that serve some practical purpose.
Barrick Gold Corporation's analyst rating consensus is a Strong Buy. This is based on the ratings of 13 Wall Streets Analysts.
Warren Buffett's Berkshire Hathaway recently disclosed the sale of its entire Barrick Gold position. However, Barrick Gold has reported strong Q4 and full-year 2020 financial results, beating revenue and earnings expectations.
In November, 21 Indigenous residents near the North Mara mine sued Barrick Gold in Canada over human rights violations. In December, the legal fight continued with a lawsuit against a London-based gold market association for certifying Barrick's gold from North Mara as responsibly sourced.
How high can Barrick Gold go?
| Average Price Target | Highest Price Target | Upside to Average Price Target |
|---|---|---|
| $21.81 | $26.15 | 27.62% |
What Is Barrick Gold's Debt? The chart below, which you can click on for greater detail, shows that Barrick Gold had US$5.17b in debt in December 2023; about the same as the year before. However, because it has a cash reserve of US$4.15b, its net debt is less, at about US$1.02b.
- Palo Alto Networks Inc. (ticker: PANW)
- Nvidia Corp. (NVDA)
- Apple Inc. (AAPL)
- Microsoft Corp. (MSFT)
- Alphabet Inc. (GOOG)
- Tesla Inc. (TSLA)
- AllianceBernstein Holding LP (AB)
- Walt Disney Co. (DIS)
He owns a small bit of each in his portfolio for Berkshire, too. The two investments held in Berkshire Hathaway's portfolio that Buffett recommends more than anything else are two S&P 500 index funds. The SPDR S&P 500 ETF Trust (SPY 0.95%) and the Vanguard S&P 500 ETF (VOO 1.00%).
Warren Buffett is one of the greatest investors of all time. Berkshire Hathaway, the company he's managed since 1965, has returned 19.8 percent annually through the end of 2022 during Buffett's leadership, doubling the return of the S&P 500 over that time period.
