Who Is the Oracle of Omaha?

The Oracle of Omaha is a nickname for Warren Buffett, arguably one of the greatest investors of all time. Buffett is the chair and CEO of 澳洲幸运5官方开奖结果体彩网:Berkshire Hathaway, a company that he became the controlling shareholder of🍃 in the mid-1960s.

He is called the Oracle of Omaha because the investment community very closely follows his investment picks and comments on the market, and he lives and works in Omaha, Nebraska.

Wealth and Net Worth

Warren Buffett is one of the richest men in the world. He built his fortune using a simple yet powerful 澳洲幸运5官方开奖结果体彩网:investment strategy. His investments are long-term positions, accomplished by the purchase of fundamentally sound companies that are trading well below their 澳洲幸运5官方开奖结果体彩网:intrinsic value. Some of his most publicized investments include Coca-Cola, Gillette, and Dairy Queen. As of May 2025, the Oracle of Omaha is estimated to have a net worth of over $156 billion.

The Oracle of Omaha’s Early Years

Warren Buffett was born in Omaha, Nebraska, in 1930 to Howard and Leila Buffett. The Oracle of Omaha’s father was a stockbroker, which gave him an early introduction to the stock market. Buffett purchased his first stock at age 11; he bought three shares of Cities Service Preferred for $38 per share and sold them at $40 per share. After he sold the stock, it advanced to $200. On reflection, Buffett believes this taught him the virtue of patience.

Buffett demonstrated business prowess from his early teens, running a paper delivery business and completing his own tax returns. The Oracle of Omaha started a pinball machine business while in high school and went on to sell the business for $1,300. He graduated from the University of Nebraska with a business degree.

The Oracle of Omaha’s Investment Philosophy

Warren Buffett is a value investor and a follower of the Benjamin Graham school of value investing. Columbia Business School professors, 澳洲幸运5官方开奖结果体彩网:Benjamin Graham and David Dodd, developed their investing concepts, which in 1949 were published in Graham's book, "The Intelligent Investor".

As a value investor, Buffett looks to purchase companies that are below their intrinsic worth but have the potential to make money. Buffett attempts to do this by buying companies that are out of favor with the market. He values a company by assessing its fundamentals, such as 澳洲幸运5官方开奖结果体彩网:return on equity and profitability.

For example, Buffett likes a company to have a low debt/equity ratio. He wants earnings growth generated from 澳洲幸运5官方开奖结果体彩网:shareholders' equity as opposed to debt. The Oracle of Omaha’s quote, “It’s far better to buy a wonderful company at a fair price than a fair company at a wonderful price,” sums up his investment philosophy.

Investing in Coca-Cola

Warren Buffett’s investment in Coca-Cola is one of the most celebrated and lucrative stock picks in financial history, embodying his lon🅰g-term, value-driven investment philosophy.

Buffett began buying Coca-Cola shares in 1988, in the wake of the 1987 stock market crash. Over several years, he invested approximately $1.3 billion, acquiring about 400 million shares, which at the time represented around 6–7% of the company. Buffett was drawn to Coca-Cola’s powerful global brand, its “economic moat,” and its consistent ability to generate stable cash flows.

As of 2025, the original $1.3 billion investment is worth nearly $25 billion. Keep in mind that in 2025, Berkshire Hathaway is set to receive $816 million in dividends from its 400 million Coca-Cola shares, which pay $2.04 per share annually.

Investing In Apple

Warren Buffett’s investment in Apple marked a notable shift in his traditional approach, as he had long been hesitant to invest in technology companies. Berkshire Hathaway began buying Apple stock in 2016. However, Buffett quickly took a personal interest in the company and dramatically increased the stake, viewing Apple not as a typical tech stock but as a consumer product company with strong brand loyalty and recurring revenue. It's estimated that as of May 2025, Berkshire Hathaway holds 300 million shares of Apple.

The Bottom Line

Warren Buffett is a legendary American investor and the longtime CEO of Berkshire Hathaway, known for his disciplined value investing approach and long-term strategy. Despite his immense wealth, he lives modestly and has pledged to gi🅰ve away the majority of his fortune through philanthropic efforts.