3 Buffett-Approved Stocks to Fortify Your Portfolio During Market Ups and Downs

Stocks to buy

Embarking on a steady sail through the riveting investment realm, the name Warren Buffett continues to spark enthusiasm. Steering the mighty ship of Berkshire Hathaway (NYSE:BRK-A, NYSE:BRK-B), Buffett maintains vigilant control over an awe-inspiring $340 billion investment portfolio. While harboring nearly $150 billion in cash, he stands ever-ready to pounce on burgeoning opportunities with a hawk’s precision.

Moreover, Buffett deftly maneuvers through the persistent hike in consumer prices. With an arsenal of vast experience, his projects not just a survival of the current financial turbulence but a triumphant march into a prosperous 2024. Furthermore, the investment maestro has a knack for pinpointing stocks that will cascade through the market even amid its unpredictable ebbs and flows.

T-Mobile (TMUS)

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T-Mobile (NASDAQ:TMUS) towers as a behemoth in wireless internet provision. In a groundbreaking move, TMUS recently announced its inaugural dividend payment, much to the delight of shareholders.

Pegged at an impressive 65 cents per share, the dividend symbolizes a landmark moment. The tech giant’s move reflects its robust financial position and strategic potency. Buffet’s portfolio boasts 5.24 million shares of TMUS, valued at over $725 million.  Already renowned for his robust investment strategies, the Oracle of Omaha is poised to receive a hefty $3.40 million from this maiden dividend dispersal.

Looking ahead, let’s suppose T-Mobile retains its dividend at a consistent 65 cents per share each quarter. In that case, that extrapolates to a substantial $2.60 per share annually. This would enable Buffett to generate a whopping $13.63 million from shareholder payouts annually. This encouraging fiscal path is underpinned by T-Mobile’s diligent customer acquisition. The deal remarkably aligns with its objective of securing a stellar eight million wireless users by 2025.

Occidental Petroleum (OXY)

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Occidental Petroleum (NYSE:OXY) continues to be the apple of Buffet’s eye. In a groundbreaking deal with Amazon (NASDAQ:AMZN), OXY’s subsidiary is gearing up to effectively harness the wind of environmental consciousness. In fact, it is developing massive direct air capture facilities.

While meticulously filtering carbon dioxide, this venture should result in lucrative credits. Moreover, the company strives to align carbon-cutting technologies with emergent regulations. This mission not only underscores its adaptive prowess in the oil industry but also heralds a pragmatic approach to impending market shifts.

Despite a marginal earnings per share miss of 68 cents in the recent quarter, Occidental revealed its production guidance improved by 42,000 BOE per day. Furthermore, expect a subsequent elevation in the full-year production outlook. Additionally, OXY manages a sturdy $425 million common share buyback. This policy sustains shareholder payouts confidently above $4 per common share in an underappreciated fiscal treasure.

Coca-Cola Co. (KO)

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Under Warren Buffett’s stewardship, Berkshire Hathaway embarked on a financial journey with Coca-Cola Co. (NYSE:KO) in 1988.

Now, it luxuriously sits on 400 million shares, amounting to $22 billion and encompassing about 8% of the beverage titan. The consistency and stability of Coca-Cola reflected through its unwavering low beta underscore its coveted position in Buffett’s investment arena.

Moreover, Coca-Cola reported a robust Q2, with an 11% bump in both organic revenue and EPS. Amidst intermittent economic tremors, Coca-Cola holds its unyielding 4.65% dividend yield. This exhibits a remarkable resilience to short-term selling pressures, even while navigating through economic headwinds.

Furthermore, KO is globally embraced with a presence in over 200 countries owning a diversified beverage portfolio. Coca-Cola subtly crafts a shield against inflation, safeguarding its market presence and pricing might. It stands as a reliably steady stock that continues to be a quintessential Buffett holding, delivering stable returns. Additionally, TipRanks analysts suggest a strong buy, predicting a whopping 33.4% upside, further solidifying its financial stature.

On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Muslim Farooque is a keen investor and an optimist at heart. A life-long gamer and tech enthusiast, he has a particular affinity for analyzing technology stocks. Muslim holds a bachelor’s of science degree in applied accounting from Oxford Brookes University.

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