Over the next five years, Wall Street analysts expect the company to grow earnings by around 4% per year. That's a paltry growth rate, but the stock's valuation reflects that. Right now, Kraft Heinz shares trade at just 14 times earnings with a dividend yield of around 5%. The S&P 500, for comparison, trades at 28 times earnings -- a 100% premium.

Warren Buffett has outperformed the S&P 500 for decades and has made his investors quite happy. Some investors opt to play it safe by investing in index funds, but others want to outperform the S&P 500 and Warren Buffett.

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InvestorPlace - Stock Market News, Stock Advice & Trading Tips The market is waiting for the latest Berkshire Hathaway

Smart investors pay attention to what Warren Buffett is buying. Buffett has revealed what might be his favorite stock. Filings show Berkshire Hathaway has gone on a buying spree. Buffett has long been a big believer in good management teams.

Warren Buffett is one of the most successful investors in history. He has led Berkshire Hathaway to annual returns of 19.8% between 1965 and 2023. This is nearly double the return of the S&P 500 over the same period.