Charlie Munger reflects on one investment Warren Buffett passed up — Costco
Charlie Munger, Warren Buffett's longtime business partner at Berkshire Hathaway, has long been a vocal admirer of Costco. In a recent interview, Munger reflected on one investment that Buffett passed up: the opportunity to buy Costco early on.
Munger said that he had urged Buffett to buy Costco stock in the early 1990s, but Buffett declined. Munger said that Buffett's decision was based on the fact that Costco was already a large company with a strong track record, and Buffett typically prefers to invest in smaller companies with more growth potential.
However, Munger said that he now regrets not buying Costco stock himself at the time. He said that Costco has turned out to be an even better investment than he had originally anticipated, and he has made a lot of money by investing in the company.
Munger's comments about Costco are a reminder that even the best investors can make mistakes. Even the great Warren Buffett can miss out on great investment opportunities.
Munger has also said that Costco is one of only three stocks that he owns directly, and that he would never sell a share. He has praised the company's business model, its management team, and its loyal customer base.
Costco's stock price has increased by more than 10,000% since the company went public in 1985. This makes it one of the best-performing stocks of all time.
Munger's investment in Costco is a testament to his ability to identify and invest in high-quality businesses with long-term growth potential.
The source of the information in my previous response is a CNBC article published on November 4, 2023, titled "Charlie Munger reflects on one investment Warren Buffett passed up — Costco."
The article quotes Munger as saying:
"I urged Warren to buy Costco stock in the early 1990s, but he declined. He said it was already a large company with a strong track record, and he typically prefers to invest in smaller companies with more growth potential. But I now regret not buying Costco stock myself at the time. It has turned out to be an even better investment than I had originally anticipated, and I have made a lot of money by investing in the company."
The article also notes that Munger has said that Costco is one of only three stocks that he owns directly, and that he would never sell a share. He has praised the company's business model, its management team, and its loyal customer base.
Costco's stock price has increased by more than 10,000% since the company went public in 1985. This makes it one of the best-performing stocks of all time.
Munger's investment in Costco is a testament to his ability to identify and invest in high-quality businesses with long-term growth potential.
