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It could be Warren Buffett’s secret weapon.
Most folks think Berkshire Hathaway (NYSE: BRK-B) CEO is an open book. But the world’s best investor didn’t get to the top by revealing everything.
Go here to discover why Warren Buffett loves collecting these “Liberty Checks.”
My wife nearly killed me after I skipped my kid’s baseball practice and an afternoon birthday party . . .
. . . So that I could sit at home drinking dark coffee and watching 10 hours of streaming video from the Berkshire annual meeting in Omaha.
Frankly, I was a little surprised that Buffett didn’t mention “Liberty Checks” at least once during the meeting.
As you’ll see, Buffett secretly loves collecting these huge payouts.
Berkshire Hathaway Collects $30.3 Million
Last year, Costco (NASDAQ: COST) shocked investors with a massive “Liberty Check” payout.
The company was on track to report 5% same-store-sales growth. Meanwhile, earnings growth was going to exceed expectations.
Costco management responded with a big announcement . . .
$3.1 billion in Costco Liberty Check payments.
The $7-per-share Costco payout was 15 times bigger than the $0.45 quarterly dividend.
Meanwhile, Berkshire Hathaway collected its share of the payments.
With 4.3 million shares of stock, Costco is the 26th largest position in the Berkshire portfolio.
That means that Berkshire could collect $30.3 million in Costco Liberty Check payouts – on May 26.
Wells Fargo analyst Edward Kelly expects another Costco Liberty Check payout in the coming weeks. And he wrote a note to clients updating them on the situation:
“We expect the company to sustain strong comp momentum despite difficult comparisons, deliver improved membership trends, navigate rising retail cost pressures, and beat consensus expectations.
The potential for the declaration of a [Costco Liberty Check] sooner than expected could represent another catalyst for the stock.”
It’s worth noting that Berkshire is the single largest Wells Fargo (NYSE: WFC) shareholder. So, it’s almost certain that Buffett read this recent analyst note.
Warren Buffett is getting rich with these Liberty Checks. And you can, too.
Just click here for details on the next payment for $1,380.
These huge payouts happen like clockwork – with checks being mailed every 20 days.