Warren Buffett is the CEO of Brookshire Hathaway, a very successful investment firm that he took control of in 1963. The company was originally a textile company, but low profits and the demise of the textile industry lead to its demise. Buffett has bought enough stock to take control of Berkshire Hathaway. Under Bonnett’s direction, he steers the company from textile operations to becoming a major investment entity in the stock market business. By 1964, Buffett had made enough money to reach millionaire status. Today, at 84, he is the second wealthiest person in the world.
Warren Bonnett in his young years starts his initial investing by buying pink sheet penny stocks. Bonnett quickly developed the talent of buying stocks at discounted prices and then selling them off when the time was right. More than once Bonnett collected a hefty profit day trading penny stocks. Bonnett’s dad was a stockbroker, and Bonnett would listen to all the activity of the stock market, from being around his dad.
Warren Bonnett First Lesson In The Stock Market
Warren Bonnett first venture into buying and selling stock did not start off as profitable as his stock picks today. However, his first few experiences at stock buying did teach him invaluable lessons that he still uses today at 83 years old. As a young man, Bonnett three shares in City Service Preferred at $38 dollars a share. Not soon after buying the stock, the stock price fell to $27 dollars a share. At that point, Bonnett sold them. A few months later these stocks rose in the valve and stabilized at about $200 dollars a share. What did Bonnett learn from this? He learned quickly he had to be patient if you wanted to profit in stock trading. As Bonnett has said in many press interviews, this is one lesson that the never has forgotten.