Charles H. Dow once said, “the growth of the business of the country accrues on the old stocks.”
We thought we’d compare this idea of Dow’s with the portfolio of Warren Buffett to see how accurate this concept might be. Below is the list of companies held by Warren Buffett from the 2012 Annual Report (page 106-107).
Based on the companies in Warren Buffett’s stable, it appears that Charles Dow was right. Warren Buffett doesn’t seem to be holding any companies that have IPO’d in the last 5 years. In addition, this list of companies excludes the newspaper and real estate offices that are being accumulated throughout the country.