5 Best Value Stocks To Buy According To Warren Buffett

3. The Coca-Cola Company (NYSE:KO)

Berkshire Hathaway Stake: $25,164,000,000

Percentage of Berkshire Hathaway’s Portfolio: 8.38%

Number of Hedge Fund Holders: 60

Founded in 1892, The Coca-Cola Company (NYSE:KO) is a beverage manufacturer with a brand portfolio of 200 brands of soft drinks, coffee, teas, and water across more than 200 countries and regions. Berkshire Hathaway’s holding of The Coca-Cola Company (NYSE:KO) remained unchanged during the second quarter of 2022, and the fund had an investment value of approximately $25 billion in the company at the end of Q2 2022.

On October 10, 2022, Gerald Pascarelli, an analyst at Wedbush, initiated coverage of The Coca-Cola Company (NYSE:KO) with a price target of $63 and an Outperform rating. The analyst’s liking for the company is based on the fact that it is the market leader in the soft drinks category and exudes high pricing power, which will protect it from inflationary headwinds.

At the end of Q2 2022, Berkshire Hathaway came out to be the fund with the largest holding in the company. The fund owned 400,000,000 shares of The Coca-Cola Company (NYSE:KO) with an investment value of over $25 billion in the company. As per Insider’s Monkey database, 60 hedge funds owned stakes in The Coca-Cola Company (NYSE:KO) at the end of the second quarter.

Aristotle Capital Management, LLC mentioned The Coca-Cola Company (NYSE:KO) in its Q2 2022 investor letter. Here is what the firm has to say:

The Coca-Cola Company (NYSE:KO), the global beverage business, was a leading contributor for the period. Coca-Cola continues to benefit from the refranchising of its bottling operations and realignment of incentives, catalysts we previously identified. These initiatives are demonstrating their strength in an inflationary and supply-chain-challenged environment. Additionally, the company has focused on evolving its customer engagement practices by leveraging digital and social medias for targeted campaigns, such as the design and launch of Coke Byte in the metaverse. Lastly, Coca-Cola has furthered its transformation into a total beverage company, as it debuted its new Jack Daniel’s Tennessee Whiskey and Coca-Cola ready-to-drink premixed cocktail. Although uncertainties surrounding cost pressures, lockdowns and geopolitical conflicts remain, we believe Coca-Cola is uniquely positioned to successfully continue its transition toward a total beverage business.