Greg Abel-Led Berkshire Hathaway Owns 3 Consumer Stocks. Here's the One I'd Buy First.
And it's not the one you're probably thinking of.
Overview
Picking up where predecessor Warren Buffett left off, Berkshire Hathaway (NYSE: BRKA) (NYSE: BRKB) CEO Greg Abel is keeping the conglomerate invested in many of its existing consumer staples trades. Its biggest and best-known holding from this sector is, of course, the $34 billion position -- Berkshire's fourth biggest -- in Coca-Cola (NYSE: KO). Then there's struggling Kraft Heinz (NYSE: KHC), which Buffett admittedly laments.
There's a third consumer goods stock Berkshire has owned for a while now, however, that's often overlooked, largely due to the trade's small size. That's grocery store chain Kroger (NYSE: KR). Of these three names, Kroger's the one I'd be most interested in buying right now.
Details
This won't always be the case. Coca-Cola is still arguably the best of the best among Berkshire's consumer-facing holdings. It's just gotten a little expensive due to a 60% run-up from its late October low. Meanwhile, Kraft Heinz is distracted by its plans announced last year to split up the company into smaller, more manageable pieces. Kroger is the proverbial pick of the litter at this time, largely thanks to its pullback from March's peak.
Source
Originally published at www.fool.com.