Warren Buffett is revered not only in the financial circles but in households around the globe. Ordinary people know him as the filthy-rich American. Investors regard him as a shrewd financial genius.
Today, the “GOAT” (greatest investor of all time) of investing is mellowing with age yet still commands a cult-like following. Aside from being an investment guru, Buffett is also a personal development coach. Everyone can relate to his words of wisdom. But he says the key to his success comes down to one word: love.
The revelation of Buffett about love fits in the wake of angry protests. To him, love is the obvious solution to the ills of business and society. Life is a test, and according to Buffett, the more you give love away, the more you get.
Buffett sees love as a powerful force in the universe. If you develop the practice of giving love to people, you will gain a business or personal advantage over a lifetime. When you love, you’re valuing people as human beings.
If you’re showing leadership love, you’re empowering your employees and followers to take action, embrace risks, and make sound decisions. Giving love to customers means you focus on their needs rather than fall in love with your product.
The man with uncanny investing savvy has been making money for nearly eight decades. He has seen the best bull market runs and is still alive to witness the worst-ever market crash in 2020.
Buffett is moving away from businesses that produce massive free cash flow and offering high returns. His conglomerate Berkshire Hathaway is eyeing companies that will endure and grow in the long term.
Berkshire sold 19 stocks in the first quarter of 2020 — not Buffett’s hallmark in a declining market. His conglomerate is keeping its holdings in Restaurant Brands International (TSX:QSR)(NYSE:QSR). The quick-service restaurant stock is marching higher since dropping to $40.64 on March 18, 2020.
As of this writing, QSR is trading at $75.74 per share and paying a 3.74% dividend. The 86.38% rally is incredible after the brutal market selloff. Buffett’s food stock is holding ground, and the year-to-date loss is only 7.4%. Market analysts have a target price of $85 in the next 12 months.
Restaurant operators are happy that COVID-19 infections are decreasing. The lockdown era might be coming to an end. QSR deserves the analysts’ upgrade due to the substantial Q1 2020 revenues.
Also, the surprising price performance is an indication that the food-chain stock is on the right track. The operator of Burger King, Tim Hortons, and Popeyes is still far from full recovery, although it is showing resiliency.
Restaurant Brands should come out stronger after the health crisis, and Buffett is right in keeping the stock.
Warren Buffett is not a washed-down investor. Instead of aggressively investing, the Oracle of Omaha is watching which way the wind will blow to avoid another market bruising. You can’t outsmart someone who has passed the ultimate test in life. Spread love as he did.
Speaking of Warren Buffett's secret to success...
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This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.
Fool contributor Christopher Liew has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Berkshire Hathaway (B shares). The Motley Fool recommends RESTAURANT BRANDS INTERNATIONAL INC and recommends the following options: long January 2021 $200 calls on Berkshire Hathaway (B shares), short January 2021 $200 puts on Berkshire Hathaway (B shares), and short June 2020 $205 calls on Berkshire Hathaway (B shares).