Warren Buffett owns a newspaper in Buffalo, New York.
He has been a key-shareholder of The Washington Post Company.
“Kay” Graham always said that he was his best business coach and financial adviser.
Yesterday the New York Times Company shares rose as much as 7.5 percent and options traders cited unusual call volume on speculation billionaire investor Warren Buffett could build a stake in the company.
My take on that:
1. Warren Buffett buys stocks from products that he understands.
2. He always buys low.
3. He stays with what he buys for a long time.
4. Newspaper company shares are lower and cheaper than ever.
5. Newspapers generate a lot of cash.
6. So… Warren Buffett buys The New York Times Company because it is a first class brand and a great product at bargain prices.
Do what Warren Buffett does.
Buy newspaper stock.