Warren Buffett Owns a Lot of Stocks: Here’s the One I’m Most Excited About

This Warren Buffett stock takes up a whopping 46% of his portfolio. Yet while it’s a great investment, a Canadian company could offer major returns.

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There are a lot of stocks in Warren Buffett’s Berkshire Hathaway (NYSE: BRK.B), and in the past, there have been some Canadian companies included. However, over the years the Oracle of Omaha has divested his investments in Canadian stocks.

That being said, this doesn’t mean there isn’t an opportunity for investors. In fact, Berkshire stock continues to report its buys and sells every quarter. But of all the companies the stock holds, the one I’m most excited about is Apple (NASDAQ: AAPL).

close-up photo of investor Warren Buffett

Image source: The Motley Fool

Why Apple?

Let’s just put aside that Apple stock is one of the largest companies in the world, with a long history of strong development from a world-renowned management team. Instead, let’s focus on why Warren Buffett likes this stock today.

The US$2.79 trillion (yes trillion)-dollar company has long been known for its development of state-of-the-art products. This is what has grown to a point of customer loyalty beyond any other. It’s also why the company has traded at a stable share price and healthy clip over the years. So, it’s no wonder Berkshire stock currently holds a 46% stake in Apple stock as of writing.

However, these days, the company has had to come out with even more amazing things. And one of the top items on its roster? An electric vehicle. It’s no secret that Apple stock has been working on creating is own version of an electric car for years now. Apple just wants to come out with the best of the best. Yet it’s the connection to a Canadian company that excites me the most.

Magna stock

To be clear, there have not been any official announcements stating that Apple stock is going to be partnering with a Canadian electric vehicle maker. However, the rumour mill has been swirling for years. Currently, the world on the street is Canadian car manufacturer Magna International (TSX: MG) could be the winner of such a prestigious contract.

That being said, there’s also likely a reason it has yet to be announced. First, Apple stock actually has to create a prototype. Even information about this has yet to be released in full. Then there’s the fact that Magna stock struggled throughout the pandemic and still hasn’t returned to its normal trading activity and production levels.

While Magna stock could certainly be the car manufacturer of choice, it’s unlikely we’ll hear anything for some time — at least not until Magna stock gets back in the black and Apple stock produces a prototype.

Bottom line

Even so, Apple stock remains a great investment, and it likely always will be. Furthermore, Magna stock could be a huge winner as the world shifts to electric vehicles. It already manufactures car parts around the world but mostly with internal combustion engines. Now, the shift has created a huge opportunity — one that’s already underway.

While Apple stock still has yet to reach out officially, Magna stock has partnered with many others. This includes Toyota, Ford and others. So, don’t think the company is doomed for failure should Apple stock not reach out directly.

For now, Apple stock is up 2% in the last year, with Magna stock down by 5%. So, with no huge jumps behind it, and the potential for major ones in the future, now looks like a great time to consider them both.

Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends Apple, Berkshire Hathaway, and Magna International. The Motley Fool has a disclosure policy.

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