From Nasdaq:

Warren Buffet and Berkshire Hathaway hold significant influence in investing, which in turn affects the stock market. Despite this, blindly following Berkshire’s stock trades may not always be the best investment strategy. However, after analyzing Berkshire’s portfolio, I’ve found that two companies stand out as great investments, while another is best avoided.

Visa is a prime example of the tollbooth-style company that Warren Buffet favors. Visa’s payment processing model allows the company to collect a small fee from every transaction. Despite its large size, Visa continues to grow profits and revenue while maintaining high profit margins. With low valuations, Visa offers a great buying opportunity for investors looking for long-term success.

Amazon is in a strong position and is an excellent investment opportunity due to the improving profitability and consistent revenue growth under the new leadership. Despite Berkshire lowering its position, Amazon’s performance makes it a favorable investment. However, despite being Berkshire’s favorite stock, Apple may not be the best choice for investors. With declining revenue and high valuations, Apple presents greater risks compared to Visa and Amazon.



Read more: 2 Berkshire Hathaway Stocks to Buy Hand Over Fist and 1 to Avoid