The older I get, the more I envy Warren Buffett's "one decision" purchase of Coca-Cola (NYSE:KO).
In the late 1980's Buffett realized that the shares of Coca-Cola were very attractively priced relative to the long run of growth that the company had in front of it. He invested over $1 billion of Berkshire Hathaway's cash into shares of Coca-Cola and has done nothing since other then watch the value of that investment increase.
When buying Coca-Cola shares Buffett wasn't buying at the miniscule price to earnings ratio that his mentor Ben Graham would have required before investing. Instead Buffett was paying a reasonable price, which over time would prove to be unreasonable because of the growth in earnings...
|FREE||SA PRO MEMBERS|
|IDEA GENERATOR||X||Exclusive access to 10 PRO ideas every day|
|INVESTING IDEAS LIBRARY||X||Exclusive access to PRO library of more than 15,000 ideas|
|SECTOR EXPERT NETWORK||X||Exclusive access to all sector experts for direct consultation|
|PERFORMANCE TRACKING||X||Track performance of all PRO stock ideas|
|PROFESSIONAL TOOLS||X||Professional Idea Filters to zero-in based on industry, market cap and more|