Facebook (FB) Makes Warren Buffett Screen

Facebook (FB) earns a spot on the Warren Buffett Stock Screen, which looks for stocks that best match the investing strategy of the legendary Berkshire Hathaway (BRKB) CEO, Investor’s Business Daily reported.

The screen reflects the Oracle of Omaha’s emphasis on companies with sound management and a solid track record, with a particular focus on annual and quarterly earnings per share growth, return on equity and profit margins.

With rising earnings and sales growth in recent quarters and a five-year 51% annual EPS growth rate (and three-year rate of 71%), Facebook is the only social media stock that gets a passing grade based for Buffett’s stock-picking criteria.

The Menlo Park, California-based firm’s 55.6% annual pretax profit margin also earns high marks, far surpassing industry rivals Alphabet (33%), LinkedIn (17.6%) and Twitter (7.7%).

FB is a Cabot Growth Investor stock.

Stock Picks


This stock could rise 50% before becoming fairly valued.

This hot technology company is growing like a weed, thanks to products that speed up cloud communications.

This stock is somewhat well known, but far from well loved.

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