Buffett's Coca-Cola Bet Pays Off Big Time
Berkshire Hathaway's investment in Coca-Cola has been one of its most enduring positions. In 1988, Warren Buffett and Berkshire Hathaway purchased shares of Coca-Cola at an average price of $41.81 per share.
The initial purchase included 14,172,500 shares, with the firm continuing to add to its position over the years through stock splits.
Today, Berkshire Hathaway owns around 400 million shares of Coca-Cola, making up approximately 11% of its portfolio.
If an investor had purchased $1,000 worth of Coca-Cola at the same time and price as Berkshire Hathaway, they would have seen a staggering return on investment.
Adjusted for stock splits, that initial $1,000 investment would be worth around $33,755.90 today, representing a 3,275.6% increase over the past 38 years.