Buffett with $100 billion, cash for investments. What's He Going to Buy?

Berkshire Hathaway, the fund managed by Warren Buffett, started the year with more than $100 billion cache, of which $80 billion are expected to be used to buy companies and invest in shares. In an interview Wednesday, Buffett said "Net Fund is a buyer."

Berkshire has identified several criteria for acquiring a company or buying a share of the shares. First of all, it must be a large capitalization and a profit before taxes and fees of at least $50 million. The company should show an upward trend at net profit and have almost zero debt. In addition, Buffett wants business to be simple and less dependent on new technologies.

Using the criteria of Berkshire, Brian Adams, director of FactSet M & A, offers several companies that could be listed on Buffett. Almost convinced that in 2018 Buffett will acquire L'Oreal SA, he defines the company as Top Deal for Berkshire. A stock list of listed shares includes BlackRock Inc., Cognizant Technology Solutions Corp., Henkel AG, Nike Inc., Public Storage and SAP SE.

For now, Buffett has not mentioned a particular acquisition or investment in a company, but the large amount of money will certainly cause the company to review the above-mentioned shares.

Source: Bloomberg Pro Terminal

Jr Trader Petar Milanov

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