The Best Warren Buffett Stocks to Buy With $300 Right Now

Here are two of the best stocks you can buy from Warren Buffett’s portfolio today with an initial investment of as low as $300.

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Do you want to invest like Warrant Buffett but lack the extra money to begin your investment journey? If so, you’re in luck. You don’t need a fortune to start investing like Buffett, often called the Oracle of Omaha. In fact, with an investment of as low as $300, you can start buying some of the best Warren Buffett stocks right now. These are companies that have strong competitive advantages, a proven financial growth track record, and solid growth potential for the long term.

Of course, not all of Buffett’s picks might be affordable for an average retail investor like you and me, as some of them trade at several hundred or even thousands of dollars per share. But you can still find some great choices that cost $300 or less. You can add more to your stake in these stocks later when you have more money to invest. Here are two of the best Warren Buffett stocks you can buy with $300 right now, based on their current share prices.

A top bank stock from Buffett’s portfolio

One of the best Warren Buffett stocks you can buy with $300 right now is Bank of America (NYSE:BAC), which is also one of his largest holdings. As of its latest 13-F filling, the billionaire investor’s investment firm, Berkshire Hathaway (NYSE:BRK.B), owned over 1.03 billion shares of the bank. This accounted for slightly more than 13% of BAC’s outstanding shares, worth more than US$28 billion.

After rallying by 21.5% in the last three months, Bank of America’s stock currently trades at US$33.62 per share, extending its market capitalization to US$266.1 billion. At this market price, it also offers an annualized dividend yield of 2.9% and distributes these payouts every quarter.

Buffett has been bullish on Bank of America for a long time, and the bank’s strong financial growth trends could be one of the key reasons for that. Despite facing COVID-19-driven big operational challenges in between, Bank of America’s total revenue in the five years between 2018 and 2023 rose 8% from US$91.9 billion to US$99.1 billion. More importantly, its adjusted annual earnings during these five years jumped 31%. As reduced interest rates in the coming years are expected to further improve the performance of Bank of America’s global markets segment, its share prices could continue to rally.

And an evergreen stock pick from Buffett’s portfolio

Coca-Cola (NYSE:KO) could be another top pick from Buffett’s portfolio that you can buy now with an initial investment of as low as $300. As of its latest 13-F filling, Berkshire owned nearly 400 million shares in the Atlanta-headquartered beverage giant worth roughly US$22.39 billion. This accounted for slightly more than 9.2% of KO’s outstanding shares.

After declining by 7.4% in 2023, Coca-Cola stock has risen 1.3% this year so far to currently trade at US$59.70 per share with a market cap of US$258.1 billion. Like Bank of America, KO also distributes its dividend payouts on a quarterly basis and has an annualized dividend yield of 3.1% at the current market price.

In the five years between 2017 and 2022, Coca-Cola’s total revenue and adjusted earnings climbed up by 21.5% and 29.8%, respectively. Besides its economies of scale, the company’s strong global brand recognition and loyal customer base help it continue delivering solid results in the long run, despite temporary economic slowdowns. These positive fundamental factors make Coca-Cola one of the top stocks from Buffett’s picks to hold for the long run.

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.

Bank of America is an advertising partner of The Ascent, a Motley Fool company. The Motley Fool recommends Bank of America and Berkshire Hathaway. The Motley Fool has a disclosure policy. Fool contributor Jitendra Parashar has no position in any of the stocks mentioned.

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