"That said, when looking at truly world-class investors with exposure to single-stock names, I thought I'd look for one non-Magnificent-7 stock I think may be intriguing for investors to consider. I think I have it. I'm going to discuss why Costco ( NASDAQ:COST) appears to be so widely-owned in the world of wealthy investors, and why this stock may also be perfect for a small retail investor as well right now."
"That's right, more than a quarter century ago, Buffett bought Costco at under $29 per share. After the stock rose roughly 900% from his purchase price, he ended up selling his position more than two decades later in Q3 2020. That's a very long time to hold any particular stock, and it's worth pointing out that plenty happened between 2000 and 2020. You know, the dot-com bust, Great Financial Crisis, and a pandemic. But hey."
Many billionaire investors hold stakes in numerous stocks, often via index funds for portions of their portfolios. World-class investors sometimes concentrate on single-stock positions, with Costco emerging as a notable non-Magnificent-7 holding. Warren Buffett bought Costco in Q2 2000 at under $29 per share, held it through the dot-com bust, the Great Financial Crisis, and the pandemic, and sold in Q3 2020 after roughly a 900% gain. Costco derives around 70% of its business from membership fees, which create a durable competitive advantage and support consistent same-store sales even during downturns. Ken Fisher purchased Costco stock.
Read at 24/7 Wall St.
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