Buffett's Legacy: SIRI, NU, and AMZN Remain Key Holdings
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: Fool
- Sirius XM Holdings: Despite retiring, Buffett's Berkshire Hathaway maintains a 37.1% stake in Sirius XM, which has lost nearly two-thirds of its value over three years; however, it generates over $1 billion in annual free cash flow, highlighting its profitability and appeal to value investors.
- Nu Holdings Growth: Nu Holdings reported a 39% revenue increase and a 38% rise in adjusted net income in its latest quarter, with over 60% market penetration in Brazil, while also eyeing expansion opportunities in Mexico and Colombia despite the sluggish U.S. fintech sector.
- Amazon's Diversified Business: Amazon's AWS accounted for 22% of total net sales and 66% of operating profit in the latest quarter, showcasing its strong profitability beyond e-commerce, with advertising growing at twice the rate of its core business, enhancing its market position.
- Investment Considerations: While Sirius XM and Nu are trading at relatively low P/E ratios of 6.6 and under 20, respectively, Amazon's P/E is 30; given its brand strength and AWS potential, investors should consider the long-term value of these holdings when selecting stocks.
Analyst Views on AMZN
Wall Street analysts forecast AMZN stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AMZN is 294.69 USD with a low forecast of 250.00 USD and a high forecast of 340.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
47 Analyst Rating
46 Buy
1 Hold
0 Sell
Strong Buy
Current: 239.120
Low
250.00
Averages
294.69
High
340.00
Current: 239.120
Low
250.00
Averages
294.69
High
340.00
About AMZN
Amazon.com, Inc. provides a range of products and services to customers. The products offered through its stores include merchandise and content it has purchased for resale and products offered by third-party sellers. The Company’s segments include North America, International and Amazon Web Services (AWS). It serves consumers through its online and physical stores and focuses on selection, price, and convenience. Customers access its offerings through its websites, mobile apps, Alexa, devices, streaming, and physically visiting its stores. It also manufactures and sells electronic devices, including Kindle, Fire tablet, Fire TV, Echo, Ring, Blink, and eero, and develops and produces media content. It serves developers and enterprises of all sizes, including start-ups, government agencies, and academic institutions, through AWS, which offers a set of on-demand technology services, including compute, storage, database, analytics, and machine learning, and other services.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
