Top 10 Warren Buffett Companies To Invest In 2014

Howard W. Buffett (left) and Alex Rozek near Columbia University

(Fortune) It took getting into the family business -- giving away money -- for Howard Warren Buffett and Alex Buffett Rozek to feel close, more like brothers than the second cousins that they are. Alex, who is 34, was first exposed to philanthropy through his grandmother (and big sister to Warren) Doris Buffett. Doris was in the habit of donating $10,000 to college classes on giving, then watching as the students determined how best to distribute the money to the community -- teaching by doing. Alex helped his grandmother with her gifts, but when great-uncle Warren announced he was giving away his fortune in 2006, the explosion of interest in the family's philanthropic concerns turned Alex's assistance into more than he could handle on his own. He called his second cousin.

Howard had just finished working for Obama's campaign, and he thought they could apply a similar social media strategy to organize interest in Doris's program. They formed the Learning by Giving Foundation in 2011. Alex became its president and asked Howard to join the board. They've since launched a MOOC -- massive open online course -- to expand the foundation's reach and fund the best ideas developed during the class.

Best Shipping Companies To Watch In Right Now: Washington Banking Company(WBCO)

Washington Banking Company operates as the bank holding company for Whidbey Island Bank that provides community commercial banking services in northwestern Washington. Its deposit products include interest-bearing demand and money market accounts, saving deposits, time deposits, NOW accounts, and noninterest-bearing demand deposits. The company?s portfolio of loans comprises secured and unsecured commercial loans for working capital and expansion; real estate mortgage loans, including one-to-four family residential and commercial real estate loans; and real estate construction loans, such as commercial real estate, one-to-four family residential construction, and speculative construction loans. Its consumer loan portfolio include automobile loans, boat and recreational vehicle financing, home equity and home improvement loans, and other secured and unsecured personal loans, as well as SBA guaranteed loans for small and medium sized businesses. In addition, the company pro vides non-deposit managed investment products and services, and sweep investment options. As of December 31, 2010, it operated 30 branches in 6 counties located in northwestern Washington. The company was founded in 1996 and is based in Oak Harbor, Washington.

Advisors' Opinion:

• [By Eric Volkman]

  Washington Banking (NASDAQ: WBCO  ) is diverting some of its capital to repurchase its own stock. The company announced that its board has authorized a buyback program for up to 775,000 shares. The program is expected to continue through the end of 2014, although the firm stressed that it "is under no obligation to repurchase a specific number or dollar amount of shares and the repurchase program may be discontinued at any time."

Top 10 Warren Buffett Companies To Invest In 2014: Greif Inc (GEF)

Greif, Inc., incorporated on January 25, 1926, is a producer of industrial packaging products and services with manufacturing facilities located in over 50 countries. The Company offers a line of industrial packaging products, such as steel, fiber and plastic drums, rigid intermediate bulk containers, closure systems for industrial packaging products, transit protection products, water bottles and reconditioned containers, and services such as container lifecycle management, blending, filling and other packaging services, logistics and warehousing. It also produces containerboard and corrugated products for niche markets in North America. It sells timber to third parties from its timberland in the south-eastern United States. It has four segments: Rigid Industrial Packaging & Services, Flexible Products & Services, Paper Packaging and Land Management.

Rigid Industrial Packaging and Services

In the Rigid Industrial Packaging and Services, the Company is a provider of rigid industrial packaging products, including steel, fiber and plastic drums, rigid intermediate bulk containers, closure systems for industrial packaging products, transit protection products, water bottles and reconditioned containers, and services, such as container lifecycle management, blending, filling and other packaging services, logistics and warehousing. It sells industrial packaging products to customers in industries, such as chemicals, paints and pigments, food and beverage, petroleum, industrial coatings, agricultural, pharmaceutical and mineral, among others.

Flexible Products and Services segment

In the Flexible Products and Services segment, the Company is a producer of flexible intermediate bulk containers and a North American provider of industrial and consumer multiwall bag products. Its flexible intermediate bulk containers consist of a polypropylene-based woven fabric that is partly produced at its production sites, as well as sourced from strategic regional sup! pliers. Its industrial and consumer multiwall bag products are used to ship a range of industrial and consumer products, such as seed, fertilizers, chemicals, concrete, flour, sugar, feed, pet foods, popcorn, charcoal and salt, primarily for the agricultural, chemical, building products and food industries.

Paper Packaging segment

In the Paper Packaging segment, the Company sells containerboard, corrugated sheets and other corrugated products to customers in North America in industries such as packaging, automotive, food and building products. Its corrugated container products are used to ship such products as home appliances, small machinery, grocery products, building products, automotive components, books and furniture, as well as numerous other applications. Operations related to industrial and consumer multiwall bag products have been reclassified to Flexible Products and Services segment.

Land Management segment

In the Land Management segment, the Company is focused on the active harvesting and regeneration of the United States timber properties to achieve long-term yields. It also sells, from time to time, timberland and special use land, which consists of surplus land, HBU land and development land. As of October 31, 2013, it owned approximately 252,475 acres of timber property in the southeastern United States and approximately 10,300 acres of timber property in Canada.

Advisors' Opinion:

• [By Geoff Gannon]

  For those of you wondering if Greif Brothers Cooperage has any relation to Greif (GEF) ��yes. It has every relation. It�� the same exact company. And it�� still in pretty much the same business. They used to just make barrels. Now they make all kinds of different drums, containers, etc. That�� not a very big change for a company to make over 60 years or so.

Top 10 Warren Buffett Companies To Invest In 2014: Assa Abloy AB (ASAZY.PK)

Assa Abloy AB is a Sweden-based company engaged in the secure door opening solutions. It is organized into five divisions: Europe, Middle East and Africa (EMEA), North and South America (Americas), Asia, Australia and New Zealand (Asia Pacific), Global Technologies and Entrance Systems. The EMEA, Americas and Asia Pacific divisions manufacture mechanical and electromechanical locks, security doors and hardware in their respective geographical markets. The Global Technologies division operates in the product areas of access control systems, secure card issuance, identification technology and hotel locks. The Entrance Systems division is a supplier of entrance automation products and services. The Company�� subsidiaries include ASSA Sverige AB, Timelox AB and ABLOY Holdings Ltd., among others. In November 2013, it acquired Ameristar Fence Products Inc, a manufacturer of ornamental fences and gates. In January 2014, it acquired IdenTrust. In February 2014, it acquired Lumidigm. Advisors' Opinion:

• [By Weighing Machine]

  Domiciled in Sweden, Assa Abloy (ASAZY.PK) is the largest lock maker in the world with a global market share of nearly 12%. While the construction market has been difficult since the financial crisis, Assa has continued to increase revenue and operating profit every year since 2010 and is on track to do so again in 2013. While commercial construction has been subdued, the aftermarket (which represents ~70% of the total lock market) is driven by changes in tenancy, renovation, and extensions have not been very cyclical and provides the company with a steady stream of profits. Assa has been cobbled together through 150+ acquisitions since the early 1990s and while management has done a good job of rationalizing facilities, there remain opportunities to increase manufacturing efficiencies. Similarly, the company's back office is still running dozens of IT systems (as a result of acquisitions) but management plans to consolidate these over the next few years. Further, Assa remains an active consolidator of the locks industry - it should be able to add 5% per year to sales via acquisitions (as an aside, those interested in micro-caps should have a look at Securidev in France which trades at less than half the private market value Assa has paid for lock makers on average over the past decade). Having the highest margins in the industry, Assa is able to achieve significant synergies on acquired businesses and earn good returns on capital for its shareholders through M&A. Thus even in a difficult economy, we expect Assa will continue to grow its operating profit given its steady after market revenue, opportunity to improve results through cost cutting, and through value accretive M&A. While its shares are not cheap, at 19x earnings, shares could offer investors with a five year holding period and an 8-10% annualized return.

Top 10 Warren Buffett Companies To Invest In 2014: Pioneer Floating Rate Trust(PHD)

Pioneer Floating Rate Trust is closed ended fixed income mutual fund launched and managed by Pioneer Investment Management, Inc. It invests in the fixed income markets of the United States. The fund primarily invests in senior secured floating-rate loans. It invests in fixed income securities with average credit quality of B. The fund benchmarks the performance of its portfolio against the Credit Suisse Leveraged Loan Index. Pioneer Floating Rate Trust was formed on October 6, 2004 and is domiciled in the United States.

Advisors' Opinion:

• [By John Dowdee]

  The following 10 funds satisfied all of these conditions:

  BlackRock Float Rate Strategies (FRA). This CEF sells at a discount of 3%, which is low compared to an average premium of 2% over the past year. The distribution has been managed at 6.1% and a small amount (less than 10%) has been return of capital (ROC). However, this has not negatively affected net asset value (NAV) so has not been destructive. The fund holds 447 securities, with 90% in floating rate loans. FRA utilizes 27% leverage and has an expense ratio of 1.7%, including interest payments. Eaton Vance Floating Rate (EFR). This CEF sells at a 1% premium, which is low compared to an average premium of 5% over the past year. The distribution is 6.2%, none of which was ROC. The fund holds 800 securities, with 90% in floating rate loans. About 85% of the securities are from U.S. companies. EFR utilizes 35% leverage and has an expense ratio of 1.8% including interest payments. ING Prime Rate Trust (PPR). This CEF sells for a premium of 2%, which is below the average premium of 5%. It has a distribution of 6.8%, none of which was ROC. The fund has 350 holdings, virtually all in senior loans and from US companies. PPR utilizes 29% leverage and has a high expense ratio of 2.1%, including interest payments. Invesco VK Dynamic Credit Opportunities (VTA). This CEF sells for a discount of 5%, which is below the average discount of 1%. It has a distribution of 7.1%, none of which was ROC. The fund has 495 holdings, with 76% in floating rate loans. About 25% of the loans are from non-US companies. VTA utilizes a relatively low 20% leverage but still has a high expense ratio of 2.1%, including interest payments. Invesco VK Senior Income (VVR). This CEF sells for a discount of 1%, which is below the average premium of 3%. It has a distribution of 7.1%, none of which was ROC. The fund has over 500 holdings, with 89% in floating rate loans. Almost all (95%) securities are from US companies. VVR ut

Top 10 Warren Buffett Companies To Invest In 2014: HCI Group Inc (HCI)

HCI Group Inc, formerly Homeowners Choice, Inc., incorporated in 2006, is a holding company. The Company, through its subsidiaries, is primarily engaged in the property and casualty insurance business. The Company is authorized to underwrite homeowners' property and casualty insurance in the state of Florida through its wholly-owned subsidiary, Homeowners Choice Property & Casualty Insurance Company, Inc. (HCPC). Through HCPC and subsidiaries, primarily Homeowners Choice Managers, Inc. (HCM), Southern Administration, Inc., Claddaugh Casualty Insurance Company, Ltd., and its subsidiary, HCPCI Holdings LLC, the Company provides property and casualty homeowners' insurance, condominium-owners' insurance, and tenants' insurance to individuals owning property in Florida. The Company�� subsidiaries also include TV Investment Holdings LLC, which owns and operates a marina facility located in Florida; Unthink Technologies Private Limited, which is a software development firm. During the year ended December 31, 2011, the Company organized TV Investment Holdings LLC, HCI Holdings LLC and HCI Technical Resources, Inc. In November 18, 2011, the Company acquired Unthink Technologies Private Ltd. In November 2011, it acquired the Florida policies of HomeWise Insurance Company.

The Company�� subsidiary, HCM provides underwriting policy administration, marketing, accounting and financial services to HCPC, and participates in the negotiation of reinsurance contracts. Southern Administration, Inc. provides policy administration services. Claddaugh Casualty Insurance Company Ltd. provides reinsurance coverage to HCPC. Asof December 31, 2011, the Company has approximately 119,000 policies in force. Citizens Property Insurance Corporation requires the Company to offer renewals on the policies the Company acquires for a period of three years subsequent to the initial expiration of the assumed policies. The policyholders have the option to renew with the Company or they may ask their agent to place their co! verage with another insurance company.

Advisors' Opinion:

• [By Marc Bastow]

  Property and casualty insurance holding company HCI Group (HCI) raised its quarterly dividend 22.2% to 27.5 cents per share, payable Dec. 20 to shareholders of record Nov. 15.
  HCI Dividend Yield:�2.48%

• [By Ben Levisohn]

  Tower Group has dropped 12% to $3.88 today at 11:39 a.m., while Stewart Information Services (STC) has dipped 0.1% to $31.16, the�Navigators Group�(NAVG) has fallen 1.4% to $54.78 and HCI Group�(HCI) has gained 1% to $38.16.

• [By Ben Levisohn]

  Tower Group has dropped 40% to $4.43 today, and some other small insurers are also getting dinged this morning. HCI Group (HCI) has fallen 1.8% to $39.36, Stewart Information Services (STC) has declined 0.7% to $31.36 and the Navigators Group (NAVG) has ticked down 0.4% to $56.10.

Top 10 Warren Buffett Companies To Invest In 2014: Nordion Inc. (NDZ)

Nordion Inc., a health science company, provides various products and services for the prevention, diagnosis, and treatment of diseases worldwide. The company operates in two segments, Sterilization Technologies and Medical Isotopes. The Sterilization Technologies segment offers Cobalt-60, a radioactive metal that emits radiation and sterilizes items by destroying contaminating micro-organisms; and dosimetry and professional services, as well as designs, constructs, and maintains commercial gamma sterilization systems. The Medical Isotopes segment provides various products that are used in the diagnosis and treatment of diseases, including cardiac and neurological conditions, and various types of cancer. It offers Molybdenum-99, which decays into Technetium-99, a diagnostic that is used in nuclear medical procedures; Xenon-133 used in lung scans; Iodine-131 to treat hyperthyroidism, thyroid cancer, and non-Hodgkin�s lymphoma; Iodine-125 to treat prostate cancer; and Yttri um-90 to treat liver cancer and non-Hodgkin�s lymphoma. This segment also provides cyclotron isotopes, such as Iodine-123 to diagnose thyroid disease; Thallium-201 to diagnose and assess risk of coronary artery heart disease; Palladium-103 for treating prostate cancer; Strontium-82 for cardiac imaging; and Indium-111 and Gallium-67 to diagnose cancer, as well as offers radiopharmaceutical and contract manufacturing services. Nordion Inc. serves radiopharmaceutical and pharmaceutical manufacturers, biotechnology companies, manufacturers of medical supplies and devices, contract sterilizers, hospitals, and academic and government institutions, as well as to food and consumer goods industries. The company was formerly known as MDS Inc. and changed its name to Nordion Inc. in November 2010. Nordion Inc. was founded in 1946 and is headquartered in Ottawa, Canada.

Advisors' Opinion:

• [By Louis Navellier]

  The trick to profiting in international markets is the same as it is here at home: Use Portfolio Grader to focus on the international stocks with the very best fundamentals that are attracting buying pressure from institutions.

  Great International Stocks: Nordion (NDZ)

  Nordion (NDZ) is a Canadian health sciences company whose products are used to diagnose, prevent and treat diseases around the world. The company�� primary products are isotopes used in nuclear medicine such as Molybdenum-99, which decays into Technetium-99, utilized in nuclear medical procedures.

Top 10 Warren Buffett Companies To Invest In 2014: Ram Resources Ltd (RMR)

Ram Resources Limited is an Australia-based company. The Company is engaged in exploration of mineral properties in Greenland and Western Australia. The Company�� Motzfeld Project is located in South Greenland, some 24 kilometers from the town of Narsarsuaq and comprises exploration licences 2010/46 and 2011/24. The Company holds 51% interest in the Motzfeldt project. The Romney (EL 2010/46) located in the Lejrelev Valley about 3.5 kilometers to the west of the Aries prospect. The Merino forms a steep-sided ridge at the north-eastern end of this valley, about 2.5 kilometers to the north-north-west of Aries. The Company�� Voskop Prospect is located within Exploration Licence 2011/24 in the Storeelv Valley about 7 kilometers to the northwest of the Company�� Aries target. The Drysdale Prospect is located on top of a broad ridge about 7.5 kilometers southeast of Aries and at an elevation of about 1,600 meter. Advisors' Opinion:

• [By Chris DeMuth Jr.]

  To use a recent REIT example, take CommonWealth REIT. This is a large well established REIT that is valued in the market with one of the lowest multiples of FFO in the industry. The reason the company trades at a multiple roughly half its competitors, in my opinion, is the poorly aligned management incentive structure. The management of CommonWealth is contracted to an external management firm, Reit Management Research (RMR). Many of the trustees of CommonWeath are owners of RMR and serve on both boards. RMR is primarily compensated by growing CWH's assets which are under RMR's management, not on stock price, FFO, or anything else that is closely aligned to generating shareholder returns. This has the perverse effect of motivating them to issue lots of equity and buy lots of buildings irrespective of the value add to CommonWealth shareholders. Neither the management company nor its employees have a significant amount of their income based on the performance of CommonWealth's stock price. This has resulted in an activist, Corvex Capital, buying a significant position in the company and taking action to replace the board and the management team. The proxy advisory firm, ISS, has sided with the activist and recommended that shareholders vote out the current trustees. ISS notes, "Between 2007-2012 …while the CommonWealth management team increased assets by 198% of period-ending market cap - driving a significant increase in fees payable to management - Commonwealth's share price - the measure of value appreciation for shareholders - fell by 68%." This is the poster child of misaligned management incentives.