Warren Buffett’s Berkshire Hathaway owns a diverse portfolio of 44 stocks worth $297 billion. Wall Street analysts believe three of these stocks could deliver significant returns for shareholders in 2025. Sirius XM Holdings, a satellite-radio operator, is one of the Buffett stocks with potential upside.
Matthew Harrigan from Benchmark predicts Sirius XM stock could reach $32 per share, representing a 44% gain. Despite competition from online and terrestrial radio companies and stagnant vehicle sales, Sirius XM benefits from its monopoly status in satellite radio and its subscription-based revenue model. Another Buffett stock with plenty of upside potential is Occidental Petroleum, an integrated oil and gas giant.
Raymond James analyst John Freeman believes Occidental stock could reach $78 per share, signaling a 50% gain in 2025.
Buffett stocks with growth potential
Occidental’s revenue heavily depends on its drilling operations, making it sensitive to crude oil prices.
Geopolitical tensions and potential policy changes under Donald Trump’s presidency could drive oil prices higher, benefiting the company. Apple, Berkshire Hathaway’s largest holding, is the third Buffett stock that one Wall Street analyst believes can soar in 2025. Wedbush analyst Dan Ives raised his price target on Apple to $325 per share, implying a 41% upside.
Ives’s optimism is driven by Apple’s integration of artificial intelligence (AI) solutions into its products, which is expected to boost consumer demand and enhance brand loyalty. Additionally, Apple’s transformation into a services provider and its substantial stock buyback program could potentially boost its earnings per share. Each of these companies has unique factors working in its favor, making them interesting prospects for investors in the coming year.
While Buffett’s stock-picking strategy may not always be perfect, his focus on stocks with substantial potential upside could pay off in a year when investors are seeking stability.
