Archive: Fastenal (FAST)

CNBC Bonus Bucks Trivia: Kiplinger’s issued a list of stocks that “Warren Buffett would love.” Name one. (Hint: You’ll find the list on our site.)

Kiplinger’s issued a list of stocks that “Warren Buffett would love.” Name one. (Hint: You’ll find the list on our site.)

They are:

  • Tiffany & Co. (TIF)
    The jewelry company’s famous blue box helps make its branding power “virtually unassailable.”
  • Paychex (PAYX)
    The payroll-services company has two Buffett faves: a ‘tollbooth’ business model and a ‘float.’  Paychex charges a fee for each payroll check it writes, and it gets investment income from payroll funds for the period between getting the money from its clients and paying it out to the client’s employees.
  • Mohawk Industries (MHK)
    While antitrust laws would probably stop Buffett from buying into this strong competitor in the flooring business to his own Shaw Industries, Mohawk beats Shaw in market share and is “better diversified, with a major presence in every type of flooring.”
  • Bed Bath & Beyond (BBBY)
    This retailer’s strength lies in its consistent ability to offer a big selection of products in-stock, thanks to excellent inventory management, says Kiplinger’s.
  • Fastenal (FAST - Annual Report)
    Buffett likes “boring-yet-reliable” and it doesn’t “get much more boring than nuts and bolts” which is what Fastenal makes. Strong growth and no debt are positives, although the stock is relatively expensive compared to its earnings.

In my models:

Topics: Bed Bath and Beyond (BBBY), Fastenal (FAST), Mohawk Industries (MHK), Tiffany (TIF), CNBC Trivia, Paychex (PAYX), Business Services | No Comments