Warren Buffett: Wal-Mart
Wal-Mart is exactly the kind of company that Buffett is famous for buying. It has a dominant position as the leading discount retailer in the world. It has competitive “moats” in its size and logistical efficiency that competitors have a hard time scaling. And naturally, it’s attractively priced. Wal-Mart trades for 14 times 2013 expected earnings and at 0.55 times sales. Its 2.1% dividend, while not exceptionally high, is growing at a nice clip. Wal-Mart raised its dividend 9% last year and 20% the year before.