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This Is the Best COVID Vaccine Stock Based on Warren Buffett's Investing Rules

By Keith Speights - Jan 15, 2021 at 6:16AM

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Really only one of the legendary investor's rules are needed.

Warren Buffett hasn't weighed in publicly about which coronavirus vaccine stocks are his favorites. However, it's possible to get a sense of what the Oracle of Omaha might think based on what he's said in the past. In this Motley Fool Live video recorded on Jan. 6, 2021, Healthcare and Cannabis Bureau Chief Corinne Cardina and Fool.com writer Keith Speights discuss the best COVID vaccine stock based on Buffett's own investing rules.

Corinne Cardina: Let's kind of rapid-fire through a couple of last questions. Maybe we'll grab one more from Slido. You wrote an article on the one coronavirus vaccine stock you would buy right now. What is it and why?

Keith Speights: The stock is Johnson & Johnson (JNJ 0.84%). I blamed it on Warren Buffett, Corinne. [laughs] Anyone who follows Warren Buffett, legendary investor, he's famous for his two investing rules. Rule No. 1: don't lose money. Rule No. 2: Don't forget rule No. 1.

With Johnson & Johnson, you're just not going to lose money over the long run. Sure the stock hasn't been a tremendous performer over the last few years. But Johnson & Johnson has been around for a long, long time, I think since 1886 or something like that. It's been around a long time.

It's made its way through very difficult situations. It survived world wars and multiple pandemics and recessions and depressions and it survived and thrived. Over the long run, Johnson & Johnson will be a winner. I looked into which coronavirus stock has been the biggest millionaire maker of all. Guess what it was?

Cardina: Of course, Johnson & Johnson.

Speights: Johnson & Johnson, yeah. [laughs]. I think Johnson & Johnson is so big and is so diversified that it's just a safe bet. If I can only pick one stock, I'm going to take the safe route and that's why I went with Johnson & Johnson. I don't think it's going to be the biggest winter among these coronavirus stocks, but it's certainly one that I don't think is going to lose you money.

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