Warren Buffett, aka the Oracle of Omaha, is without a doubt on of the most followed, and respected, investors of all time. Buffett’s success has spanned multiple decades, and his positive results over that time period has provided him legendary status.
Any time Buffett speaks, Wall Street pauses to listen. His quarterly disclosures on the holdings in Berkshire Hathaway garner the attention of investors around the world, with many traders emulating his every move.
Buffett loves companies that offer products or services that he can understand, he loves long term growth, strong barriers of entry, and of course stocks with attractive valuations.
Another thing that Buffett likes is dividends. Buffett understands the pure power of dividends in building wealth, so it is not surprising to find a lot of high yield stocks in his portfolio.
Over time, dividends are the most powerful tool in building wealth, and every investor should have at least a portion of his or her portfolio diversified over a basket of dividend stocks.
With interest rates on the rise, dividend stocks are going to come under a little pressure, but high-quality dividend stocks will be more insulated to any eventual money transfer out of dividend stocks and into fixed income assets.
Wall Street puts a lot of faith in Warren Buffett, which provides shareholders of the stocks in which he invests a little protection against any market sell off.
Keeping this in mind, let’s take a look at Warren Buffett’s top yielding stocks, and try to determine if now is a good time to build on current positions, or set up a new position in the stock.