Berkshire Hathaway, Inc. (BRK-B)

jstegma (99.68) Submitted: 4/1/2009 10:39:18 AM : Start Price: $2,674.00 BRK-B Score: -19.11

Warren Buffett has a long track record through many different economic twists and turns. People seem ready to write him off as a has-been, but I think in times like these his experience is worth a premium. The high-fliers tend to crash when the trends change but Berkshire remains steady.

Another thing to consider is the effect major inflation would have on those infamous index puts he sold. If it takes $100 to buy a cup of coffee, do you think you'll be able to get a share of Starbucks for $15? Those puts have plenty of time to turn around, and with the way the government is printing money right now, I suspect they probably will.

Then think about another move Buffett has been pulling lately - selling puts on things he'd like to buy. When Buffett buys a stock, it goes up plain and simple. So this is a gold mine for him. He can sell puts on darn near anything, announce it to the world that he did so, and put the cash he collected in the bank. It's a license to steal. This sort of thing puts a real premium on the stock because other people can't do that because they don't have the same effect on stocks that he does.

Buffett emphasizes stability and I think that is a very valuable asset right now. It will also come in to play when he passes as he'll make sure there is a reasonable succession plan in place to keep the shareholders' money safe. This isn't the kind of company where the earnings go to obscene bonuses. They go straight to capital.

This one's a keeper. Buy a couple of shares and keep them until you retire and you'll have a nice chunk of change to show for it.