4 Top Warren Buffett Stocks To Consider Buying in 2024

Warren Buffett, the CEO of Berkshire Hathaway, has a history of outperforming the market, having led his company to a jaw-dropping 4,384,747% total return on its Class A shares by the end of 2023. Known for his value-oriented approach and long-term investment philosophy, Buffett's selections from the vast $368 billion Berkshire portfolio can provide guidance for individual investors looking for opportunities.

There are four stocks from his portfolio highlighted as promising buys for 2024.

Mastercard

Mastercard, with its strong position in the payments industry, is a standout choice. As economies cycle in and out of recessions, companies like Mastercard have shown resilience due to their short-lived impacts on expansion. Mastercard also benefits from not being a direct lender, avoiding the risks associated with loan defaults during downturns. With much of the world moving towards cashless transactions and many emerging regions being underbanked, Mastercard is ideally positioned for growth.

Sirius XM Holdings

Sirius XM Holdings has the unique advantage of legal monopoly status in the satellite-radio space, allowing for significant pricing power. Unlike typical radio companies heavily reliant on advertising—which is highly cyclical in nature—Sirius XM boasts a robust subscription revenue, offering more stability during economic downturns. With fixed costs and a growing subscriber base, Sirius XM's financials could improve over time.

Paramount Global

Despite facing interest rate pressures and a decline in ad revenues in 2023, Paramount Global appears positioned for a strong 2024. The upcoming election year could spur a substantial increase in political advertising spending. Moreover, Paramount's streaming service seems to have promising growth, with Paramount+ expanding despite price hikes and Pluto TV appealing as a free, ad-supported option that might attract cost-conscious consumers.

Amazon

Amazon is not just about e-commerce, with its platform accounting for a significant share of the US online retail market. However, Amazon Web Services (AWS), advertising, and subscription services like Amazon Prime lay the foundation for its financial strength. Despite not being cheap by conventional metrics, Amazon's valuation relative to its forward-year cash flow suggests it could be a worthwhile investment heading into the next year.

Buffett, Mastercard, SiriusXM, Paramount, Amazon