I think this is Warren Buffett’s best stock

Warren Buffet became the richest man in the world through investing in companies.

So, I think it’s right that America, with a net worth of $106bn, knows how to find stocks that offer incredible deals.

Best of all, the entire portfolio is public information through their company Berkshire Hathaway. There are some great companies out there, and one of the most important to me is the best stock right now.

Coca Cola

Coca Cola (NYSE: KO ) will not only go down as one of Buffett’s best moves, but perhaps one of the best-returning stocks of all time. Since 1983, the stock price has risen more than 60 times its value.

Unfortunately, not having access to a time machine like I do, going back to the past doesn’t help me in the present. And focusing on the present, some issues make me think Coke Manufacturers will not continue to offer this kind of return on investment.

The first problem is that revenue and profit are fixed for ten years. Worse still, I can see that pressures and health initiatives – for example the 2018 UK sugar tax – may turn off consumers buying their products in the future.

Both of these issues keep me from joining Buffett in holding the stock.

Apple

On the other hand, another option, Apple (NASDAQ: APPL ), has good profits, cash piles, and good leadership. I can see all it takes for the stock price to rise.

It seems that Buffett agrees with me on this, because only 8.51% of his portfolio is in Coca-Cola, 38.9% is invested in Apple.

It is the largest shareholder and a large part of the portfolio of 53 companies.

My concern here is that the company’s previous products were very successful. So, in order to maintain the level of innovation, Apple engineers have to make flying cars.

So while I think this is a great company, I wouldn’t say it’s Buffett’s best stock.

TSMC

Flying under the radar in Berkshire Hathaway’s portfolio is the Taiwanese chip manufacturer TSMC (NYSE: TSM).

This single company produces 55% of the world’s semiconductors. These tiny chips are essential in the modern electronics you find in cars, smartphones, game consoles, and medical equipment, and the world depends on TSMC to produce them.

As well as its dominant market share, the high level of technical know-how required to produce these chips gives Taiwanese companies a huge economic moat.

The company is not without its challenges. Most of these facilities are in Taiwan, a place China has made no sign of wanting to invade. The company plans to produce chips overseas, but any conflict would be a big blow.

Buffett himself recently sold 86% of his stake in the company, perhaps a sign that he is worried about these geopolitical risks.

Even with these issues, for the money, TSMC is the best stock Buffett has ever held. It has all the ingredients for explosive stock price growth, and it may be undervalued now because of the risk.

I have some exposure to the company has passed the stock Scottish Mortgage Investment Fundand I’m thinking of buying the stock outright.