Iconic investor Warren Buffett has become one of the wealthiest people in the world by identifying value in the stock market. In a nutshell, Buffett buys low and sells high — the goal of any investor. Imagine finding stocks to buy at an even better value than what Buffett gets.
Fortunately, due to regulatory disclosure laws, traders are able to do just that. Buffett’s Berkshire Hathaway Inc. (NYSE:BRK.A, NYSE:BRK.B) must file quarterly 13-F disclosures with the U.S. Securities and Exchange Commission that reveal everything Buffett has been buying and selling. More often than not, Buffett eventually sells these stocks for a profit. However, sometimes it may take a while for the market to see the value that Warren Buffett recognizes.
If you take a look back at Berkshire’s recent 13-F filings, some of the stocks that Buffett has been buying now offer a better value than when he bought them. Here are three stocks to buy that you can get at a better price than even Warren Buffett paid.
Buffett Stocks to Buy at a Discount: Visa Inc (V)
P/E When Buffett Bought: ~35.0
P/E Today: 31.4
Warren Buffett has been buying shares of Visa Inc (NYSE:V) as recently as Q3 2016. Although it’s not possible to pinpoint the exact share price at which Buffett bought his V stock, the stock averaged a Q3 price-to-earnings ratio of around 35. Since Sep. 30, V stock has dropped about 5.2%. That means that today investors can buy shares at a lower price and a better value than even Warren Buffett paid.
Visa stock is not the only credit card company that Berkshire holds. In fact, it’s not even Buffett’s largest credit card stake. Buffett holds a, $11.3 billion stake in American Express Company (NYSE:AXP) as well. AXP stock is one of Buffett’s five largest holdings. But it has’t been AXP stock Buffett is interested in lately.
Buffett seems happy with his AXP stake, but he has been building a larger position in V stock. Not only was he buying Visa stock at an average price of $80.06 in Q3, he was buying V stock at around $72.68 as far back as Q1 2016 as well.
Buffett Stocks to Buy at a Discount: Axalta Coating Systems Ltd (AXTA)
P/E When Buffett Bought: ~131.6
P/E Today: 62.6
Axalta Coating Systems Ltd (NYSE:AXTA) is…
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