Old-School Stocks Shing! Prefer “Story Stocks” or “Cash-Paying” Ones?
Earnings season is here—are you only watching AI, semiconductors, and high-growth names?
But take a look at $Coca-Cola(KO)$ — profits are rock-solid; and $Amazon.com(AMZN)$ ? It’s actually the worst-performing stock among the Magnificent 7 this year.
So here’s the real question — while everyone’s chasing “growth,” are these ignored, cash-rich “old-school stocks” secretly setting up for a year-end breakout? 🧐
At Berkshire Hathaway’s 1994 shareholder meeting, Buffett said something worth remembering: $Berkshire Hathaway(BRK.B)$
“We can perfectly well buy businesses that don’t grow at all. If the return is satisfactory, we’ll gladly own them.”
He gave a simple example:
An account with 10% annual return but no capital growth,
vs. an account with 2% annual return that grows 10% each year.
After ten years, the first one pays back your principal early and keeps printing profit; the second one looks prettier on paper but delivers far less real cash.
That’s exactly what Buffett values most: Free Cash Flow and Capital Recovery Speed.
📈 If a company can generate tons of cash every year without heavy capital spending — that’s basically owning a money-printing machine.
Even with zero growth, the cash flow alone can keep compounding your wealth.
Look at Buffett’s bet on Japan’s five major trading houses:
Combined net profit: ¥3.8 trillion (~$25B USD),
Free cash flow: ¥3 trillion,
All light-asset businesses.
As Buffett put it:
“Some of our best businesses don’t grow, but they generate so much cash that we can use it to buy other assets.”
That’s the magic of boomer stocks — Not companies selling stories, but companies paying you real cash. 💰
⚡ With oil prices rebounding, energy names like $Occidental(OXY)$ are heating up again.
Coca-Cola and P&G, the classic cash cows, are quietly outperforming too.
When growth stocks get overcrowded near bubble levels, steady cash flow and low-valuation giants might just become the next surprise winners.
Buffett also said:
“There isn’t only one way to invest — but there are some very useful ones.”
Peter Lynch beat Wall Street by investing in what he saw in daily life, Buffett won by harvesting cash flow. There’s no single “right” path — the real key is whether you can spot value where others can’t.
💬 Let’s Discuss:
1️⃣ Which stock today best represents a true “boomer stock”?
2️⃣ If you could hold only one high-cash-flow, low-growth stock forever, which would it be?
3️⃣ Do you prefer buying “story stocks” or “cash-paying” ones?
Leave your comments to win tiger coins~
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Coca-Cola (KO) perfectly fits the title — slow growth, steady dividends, and timeless global demand. It’s not exciting, but it’s reliable. Other contenders: Johnson & Johnson, Procter & Gamble, and McDonald’s — all built on consistency, not hype.
2️⃣ One High-Cash-Flow, Low-Growth Stock to Hold Forever:
Berkshire Hathaway (BRK.B). It’s like owning a diversified portfolio of old-economy cash machines — insurance, utilities, railroads — with Buffett’s discipline keeping capital productive. It may not soar, but it rarely stumbles.
3️⃣ Story Stocks vs. Cash-Paying Stocks:
I prefer cash-paying stocks. They reward patience with tangible returns, especially in volatile markets. Story stocks are fun but fragile — narrative fades, fundamentals stay. Best strategy: hold a few story-driven names for excitement, but anchor wealth in cash-flow giants that pay you to wait.
沃伦·巴菲特宣称：我们完全可以购买根本没有增长的企业。如果生意令人满意，我们将很乐意拥有它们。
翻译？如果现金涌出&资本支出很低，你就有了一个财务间歇泉。如果一家公司印钞票而不需要每个季度都需要重塑自己，那就不是无聊，而是美好的。
星展银行符合巴菲特的高现金流和永恒复利模型。
股息特许权使用费：星展银行收益率超过4%，每季度支付一次。
星展银行是一台现金流机器。由于每季度净利润超过25亿新元，星展银行并不追求增长。它命令它。
星展CET1比率为15.2%-堡垒级。
星展银行是我会永远持有的那种股票。没有戏剧性，只有存款和股息。
星展银行是我最喜欢的摇钱树。
@Tiger_comments @TigerStars @CaptainTiger @TigerClub @Tiger_SG
@ahyi @DCamel @vodkalime @Terra_Incognita @Emotional Investor
这正是巴菲特最看重的：自由现金流和资金回收速度。
在伯克希尔哈撒韦公司1994年的股东大会上，巴菲特说了一句值得记住的话：$伯克希尔哈撒韦公司(BRK.B)$
If I could hold one “boomer stock” forever, it’d be Coca-Cola. Its global reach, strong pricing power, and consistent free cash flow make it exactly what Buffett calls a “money-printing machine.” It doesn’t need heavy reinvestment, yet keeps rewarding shareholders year after year — the kind of compounding that works quietly but effectively.
That’s why I prefer cash-paying companies over story stocks. Narratives can fuel short-term hype, but cash flow sustains long-term returns. When growth names get overpriced, these cash-rich giants often become the smart contrarian play.
@Tiger_comments @TigerStars
PepsiCo Inc (PEP) offers reliable cash flow from snacks and beverages, with a long history of dividends; though not a high-growth stock, its consistent performance and market share make it a solid long-term pick。。。
For investors seeking stability, “cash-paying” stocks are safer, as “story stocks” in tech or biotech offer upside but come with higher volatility, while dividend stocks provide steady income and less risk, appealing to conservatives
Finally, bank stocks in Singapore and Hong Kong are excellent “boomer stocks”, by offering steady cash flow, reliable dividends, and stability with less exposure to the volatility of growth stocks
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@Snowwhite
And their growth is also making them worth keeping for long term
所以，如果我只能持有一隻高現金流、低增長的股票，那一定是可口可樂。此外，它不僅僅有可樂，它還有各種各樣的其他飲料，如咖啡、美汁源、運動飲料也很受歡迎。
從長遠來看，現金支付就像一臺印鈔機。從中短期來看，如果利潤得以實現，故事股有利於產生資本收益。所以，我認爲這取決於我的投資視野。現金支付的股票將是我買了就忘的股票，但故事股票將是我搖擺交易或僅在中短期投資的股票。
(2) If you could hold only one high-cash-flow, low-growth stock forever, which would it be?: DBS any day (though it is also growing crazily in the recent past).
3 Do you prefer buying "story stocks" or "cash-paying" ones?: I don't prefer going all in, into any one theme. In my dinner plate, there is place for both bread and desserts. Cash-paying stocks being the bread and the story stocks being the desserts. After all, one can eat only bread and still survive; whilst the desserts taste great one can't eat them alone.
无论是汽油还是天然气，这些公司都应该利用他们令人难以置信的基础（财富、基础设施、专业知识等）。)进入新的相邻领域，如太阳能、风能、热能等。
从长远来看，拒绝多元化或转型的公司将会落后，无论他们多么顽固，看看太阳能价格是如何不断下降的，因为中国非常重视它。投资者应该更聪明，向公司表明他们必须跟上时代，否则他们将不再受到我们的青睐。
我不确定埃克森美孚是否仍然坚持做恐龙，但我从报道中知道，他们对继续前进非常固执，并不断支持无用的举措，以保持看起来像是在前进的伪装。
我鄙视石油和石油公司在新冠疫情封锁后提高价格，以“报复”“损失”的利润。