Warren Buffett’s one of the most studied investors in history. Starting from humble beginnings in Nebraska, the ‘Oracle of Omaha’ has built a net worth of over $150bn. And he did it without complex derivatives, insider tips, or market timing.
So for investors starting from scratch at the age of 50, here’s how you can consider using his simply strategy to target life-changing wealth.
Three rules Buffett never breaks
Buffett’s philosophy, distilled to its essence, comes down to three principles:
- Invest for the long run – he famously said his favourite holding period is “forever”. The patience to hold quality businesses through volatility is what separates wealth creators from wealth destroyers.
- Stay within your circle of competence – Buffett only invests in businesses he genuinely understands. Knowing what you don’t know is just as valuable as knowing what you do.
- Be greedy when others are fearful – the best buying opportunities arrive when sentiment is at its worst, not when everything looks rosy. Buying quality cheaply is the foundation of every great Buffett investment.
Buffett’s most enduring bet
There is no better illustration of all three principles in action than Coca-Cola (NYSE:KO). Buffett first bought Coke in 1988, shortly after Black Monday had hammered equity markets. He paid around $592m for a 6.2% initial stake, before building his position to £1.3bn over the following few years. He’s held it ever since.
Today, Berkshire Hathaway‘s 400 million Coke shares are worth over $30bn, and the stock generates around $848m in annual dividends alone.
It’s a masterclass in all three rules at once: a business Buffett understood deeply, bought during widespread fear, and held through decades of compounding.
So does the investment case still hold in June 2026?
The bull case is still fizzing
The first quarter 2026 results were genuinely impressive. Organic revenues grew 10%, operating income jumped 19%, and earnings per share (EPS) of $0.86 beat analyst expectations.
Management upgraded its full-year EPS growth guidance range to 8%-9%, up from 7%-8%, and reaffirmed organic revenue growth of 4%-5% for the year.
The company’s now aggressively extending into higher growth categories like ready-to-drink protein shakes and premium hydration. And with 24 analysts carrying a consensus Buy rating, I think it’s fair to say that the story surrounding Coca-Cola remains firmly intact.
So where’s the risk?
The quality of Coca-Cola’s business hasn’t gone unnoticed over the years. And, consequently, the shares are now trading at a bit of a premium valuation.
That premium may be well-earned. But it does open the door to volatility if the business starts to underperform expectations. And with the impact of the ongoing Middle East conflict disrupting key emerging markets, the company does appear to be vulnerable.
The bottom line
Coca-Cola may not deliver fireworks in the short term. But it embodies everything Buffett has preached for decades: a dominant brand, pricing power, global distribution, and a dividend that has grown for over 60 consecutive years.
That’s why, even with a premium price tag, for investors looking to start building wealth at 50 Buffett-style, the company could be a worthwhile candidate in a retirement portfolio. And it’s not the only Buffett stock I’ve got my eye on right now…
Should you invest £5,000 in Coca-Cola right now?
When investing expert Mark Rogers and his team have a stock tip, it can pay to listen. After all, the flagship Twelfth Magpie Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.
And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Coca-Cola made the list?
Zaven Boyrazian does not hold any positions in the companies mentioned.
