The Oracle Making Moves

Remember that old commercial for E.F. Hutton?

 

They had a tag line that was unmistakable. In fact, that tag line still lives on to this day, though, it’s used more as a joke than an actual commercial.

 

Do you remember it? If not, I’ll remind you. Ready?

 

When E.F. Hutton talks, people listen.

 

Do you remember now?

 

That commercial was so iconic, that I can remember now – I can even see the guy leaning into his neighbor saying “And E.F. Hutton says…” and then all the people around them leaning in.

 

They all wanted the scoop as to what E.F. Hutton thought was a smart financial move.

 

Well, while E.F. Hutton is still around – they are really not at the forefront of the investing world like they used to be.

 

New titans have emerged in the financial realms and none seem to be bigger than the Oracle of Omaha himself, Warren Buffett.

 

Nowadays, it’s not E.F. Hutton that everybody leans in to listen to – it’s Warren – and he’s done something recently that should have the entire financial industry thinking.

 

What’d he do?

 

Well, his company, Berkshire Hathaway (BRK.A) has just invested a SIGNIFICANT amount of money into single-tenant real estate investment trust, Store Capital (STOR).

 

What’s a “significant amount”?

 

Well, how does $377 million sound?

 

It amounts to roughly 9.8% of outstanding shares purchased at $20.25 apiece!

 

That’s a lot of cheddar…

 

But the real question we should be asking is, “Why is Buffett investing in real estate? What is he preparing for?”

 

See, Warren is a true contrarian – if people are buying – he’s selling, if they’re selling, he’s buying. He’s been a contrarian for decades – and it’s worked wonders for him and Berkshire Hathaway…

 

But you have to wonder, what he knows that we don’t. Especially when you keep in mind that Buffett has recently stated that he thinks real estate was a solid investment, less volatile than some of the stock prices out there and likely to produce gains.

 

I guess that shatters the illusion that real estate is in a bubble…

This also follows Warren’s $1.51 billion credit line with Home Capital, Canada’s largest (non-bank) lender.

 

So…

 

What we have is one of the most prodigious traders in history putting almost $2 billion into real estate investments.

 

If that’s not a shining red beacon – I don’t know what is.

 

But what does that tell us?

 

Skeptics might say that old Warren is expecting a pullback in the markets – because when the markets start slowing down – real estate picks up…

 

While others say that he’s just being smart with Berkshire Hathaway’s money.

 

Either way, the fact remains that if Warren Buffett is putting his money into real estate – we should figure out how to do the same.

 

There are TONS of real estate stocks out there that can help us do exactly that…

 

I’ve researched a few, and I have to say, that some of these companies look like they could be veritable cash registers in the right economic climate.

 

Some of these babies even come with a hefty dividend attached to them – which is always nice…

 

But I haven’t pulled the trigger yet.

 

I’m waiting for a few of their key elements to fit into my GorillaTrades matrix before I send any buy recommendations out to my subscribers…

 

Something that could come as soon as this evening.

 

I’d love to have you on board when we do – so please consider joining my service as soon as you can.

 

But even if you don’t – do yourself a favor and do some of your own research into real estate stocks – it could prepare you for some hefty gains.

 

Because now, when Warren talks…

 

We ALL should listen!

 

I like to listen. I have learned a great deal from listening carefully. Most people never listen.” – Ernest Hemingway