3 Warren Buffett Stocks That Turned $10,000 Into Over $99,000 in 10 Years

Are you in search of stocks that have the potential to multiply your investment significantly? Look no further than the portfolio of Warren Buffett, renowned for his acumen in identifying winning companies.

Warren Buffett, often called the "Oracle of Omaha," has earned his reputation not just as a stock-picker but as a skilled business-picker. His insights have led to substantial returns over the years, and several of his stock picks have turned initial investments into remarkable profits. Below, we explore three stocks from Buffett's portfolio that transformed a $10,000 investment into over $99,000 in just 10 years.

1. Amazon

Investing $10,000 in Amazon (AMZN) a decade ago would have grown to nearly $119,000 today, representing a compound annual growth rate of approximately 28%. Interestingly, Buffett's company, Berkshire Hathaway, only acquired shares in Amazon during the first quarter of 2019. This decision was not made by Buffett himself but rather by one of his investment managers.

Since then, Amazon's stock price has more than doubled, fueled primarily by the rapid growth of its Amazon Web Services (AWS) cloud platform. AWS has benefited greatly from the migration of IT spending to the cloud and has seen accelerated growth due to the rise of generative AI, as many organizations are now moving to build AI models in the cloud.

2. Heico

Heico (HEI) is a relatively recent addition to Berkshire Hathaway's portfolio. Buffett or one of his investment managers initiated a position in Heico by purchasing over 1 million shares in mid-2024. For those who had invested in Heico earlier, a $10,000 investment made in October 2004 would now be valued at over $101,000, including reinvested dividends.

The company's impressive growth can be attributed to its aggressive acquisition strategy. Since 2014, Heico has acquired 34 companies, with particularly significant activity in 2015 and 2019, when it acquired seven businesses each year. Heico’s recent acquisitions include Wencor Group in 2023 and various divisions from Capewell Aerial Systems.

3. Apple

Warren Buffett began purchasing shares of Apple (AAPL) in the first quarter of 2016. Over time, Apple has grown to become Berkshire Hathaway's largest holding, a position that Buffett intends to maintain unless extraordinary circumstances arise. If you had acquired $10,000 of Apple stock a decade ago and held onto the shares, your investment would be worth over $99,000 today, factoring in reinvested dividends.

The success of Apple can be largely credited to the ongoing popularity of its iPhone products. Furthermore, Apple has created a vast ecosystem around its smartphones, with its services revenue surging in recent years.

Are These Stocks Still Smart Picks?

Identifying stocks that have produced remarkable past returns is straightforward, but the key question is whether Amazon, Heico, and Apple remain wise investment choices today.

Many believe Amazon is a strong investment due to the prolonged shift toward cloud computing and artificial intelligence, positioning AWS to benefit from ongoing trends. Amazon is also continuously enhancing its operations, which is expected to improve profitability.

Heico shows promising revenue and earnings growth. However, it is essential to consider valuation, as Heico’s forward price-to-earnings ratio is around 60, raising questions about sustainability at such a premium.

Regarding Apple, despite Buffett reducing Berkshire's stake in the company, his optimism about its long-term growth is evident. The company's ventures into generative AI and potential developments in the smartglasses market could drive additional growth.

In conclusion, if you are looking for stocks to hold for the long term, Apple remains a sound investment choice.

stocks, investing, Buffett