4/15/2014 4:15 PM ET|
Invest like the master: 4 keys
Warren Buffett has compiled a record few investors can match. Here are four keys to his strategy and four of his favorite stocks.
VIDEO ON MSN MONEY
As someone who's read books about Buffett, books about analyzing financial reports, and books about value investing - including those Buffett keeps on his desk, if you wanted to invest like Buffett I'd suggest the following:
1) look for companies with decade-or-more-long records of fairly steady earnings and revenue growth with manageable debt and a steady or improving return on equity.
2) look for companies with durable competitive advantages: property or equipment that would be much more expensive to reproduce today, brand names, long-term exclusive contracts, etc.
3) look for companies that are the gorillas in their sectors and whose competitors are not likely to knock them off the top.
Copyright © 2014 Microsoft. All rights reserved.
Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.
China's Alibaba is expected to hit the market as soon as September in possibly the biggest tech IPO ever. Will you buy in?
Thanks for being one of the first people to vote. Results will be available soon. Check for results
- I'll do whatever I can to get shares on Day 1.
- I'll buy later, after the hype dies down.
- Maybe next year. Chasing IPOs is too risky.
- What's Alibaba?