W arren Buffett is called the Oracle of Omaha for a reason -- so it's always interesting to take a close look at his holdings. Many of the stocks he owns pay a dividend, and some make IBD's Dividend Leaders screen as well. Here are fiveBerkshire Hathaway (BRKA) holdings that make the cut. All pay yields above the S&P 500's 2.08% average.
AT&T ( T ), with a 5.5% annualized yield, topped IBD's Dividend Leaders in Wednesday's issue. The telecom services giant made up 1.5% of Buffett's portfolio in Q3. He acquired shares when DirecTV was bought by AT&T in July. AT&T has retaken its 10-week and 40-week moving average lines as it shapes a potential new base.
Verizon Communications ( VZ ), a smaller position at 0.5%, offers a 5% annual yield. Shares have been moving sideways-to-lower much of the year. They're slightly underwater for the year and about 8% off a 52-week high.
Procter & Gamble ( PG ), which pays a 3.3% dividend, accounted for nearly 3% of Buffett's Q3 holdings. The consumer products maker, like AT&T, is an S&P 500 Dividend Aristocrat, companies that have raised their dividends every year for 25 consecutive years. The stock has been consolidating for most of the year.
Fellow Dividend AristocratCoca-Cola ( KO ) offers a 3.1% annualized yield. The beverage giant, at 12.6%, was one of Berkshire Hathaway's top-five holdings. The stock, up about 4% year to date, is slightly ahead of the overall market. Coca-Cola's three-year Earnings Stability Factor is the best of the five stocks: 1 on a scale from 0 (most stable) to 99 (least stable).
Wells Fargo ( WFC ), was Buffett's biggest Q3 holding , at 19%. The top-five holdings made up more than two-thirds of his portfolio. The San Francisco-based bank pays a 2.7% annual dividend. Shares have been consolidating since July and recently retook the 10-week and 40-week lines. They're up 2% this year.
Wells and Coke make IBD's screen but aren't in the issue due to space constraints.