Buffett is a big fan of dividends, but if you invest in Berkshire today, don’t expect a quarterly payout. And there is a pretty good reason for it. Why pay out earnings to shareholders when the “Oracle of Omaha” can put them to much better use?
Still, if the goal of your investment portfolio is to generate steady income for years to come, learning from the legendary investor would be a great idea. With that in mind, let’s take a look at Buffett’s top 10 high-dividend-paying stocks of all time.
1) General Motors Company
General Motors has a market cap of $48.3 billion and forward price-to-earnings (P/E) of 5.36. The company also provides an annual dividend of 4.88%, or $1.52 per share. Berkshire Hathaway owns 50 million shares of General Motors, valued at $1.55 billion. General Motors makes up just 1.1% of the holdings in Berkshire Hathaway.
2) International Business Machines Corp.
With 81.2 million shares valued at $12.5 billion, IBM makes up one of the largest positions in the Berkshire Hathaway portfolio at 9.5%.
3) Wells Fargo & Company
Wells Fargo has a market cap of $229 billion and forward P/E of 10.81. The bank provides an annual dividend of 3.29%, or $1.52 per share. Berkshire Hathaway currently owns 478.7 million shares of Wells Fargo for a holdings value of $21.8 billion. Wells Fargo makes up 17.5% of Berkshire Hathaway’s holdings.
Source:
Warren Buffett Dividend Stocks