Buffett Is Loading Up on Occidental Petroleum Stock (OXY). Should You?

Warren Buffett is buying OXY stock with both fists, but retail investors should think twice before blindly following the Oracle's lead.

oil derrick in Texas
(Image credit: Getty Images)

Warren Buffett has a seemingly insatiable appetite for shares in Occidental Petroleum (OXY, $62.11), but that doesn't mean retail investors should gorge on OXY stock as well.

Berkshire Hathaway (BRK.B, $269.58), of which Buffett serves as chairman and CEO, purchased another 6 million shares in the Houston-based integrated oil and gas firm between Sept. 26 and Sept. 28, according to a regulatory filing. At a cost of about $352 million, the additional shares increased Berkshire Hathaway's ownership to 21% of OXY's shares outstanding.

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Dan Burrows
Senior Investing Writer, Kiplinger.com

Dan Burrows is Kiplinger's senior investing writer, having joined the august publication full time in 2016.

A long-time financial journalist, Dan is a veteran of SmartMoney, MarketWatch, CBS MoneyWatch, InvestorPlace and DailyFinance. He has written for The Wall Street Journal, Bloomberg, Consumer Reports, Senior Executive and Boston magazine, and his stories have appeared in the New York Daily News, the San Jose Mercury News and Investor's Business Daily, among other publications. As a senior writer at AOL's DailyFinance, Dan reported market news from the floor of the New York Stock Exchange and hosted a weekly video segment on equities.

Once upon a time – before his days as a financial reporter and assistant financial editor at legendary fashion trade paper Women's Wear Daily – Dan worked for Spy magazine, scribbled away at Time Inc. and contributed to Maxim magazine back when lad mags were a thing. He's also written for Esquire magazine's Dubious Achievements Awards.

In his current role at Kiplinger, Dan writes about equities, fixed income, currencies, commodities, funds, macroeconomics, demographics, real estate, cost of living indexes and more.

Dan holds a bachelor's degree from Oberlin College and a master's degree from Columbia University.

Disclosure: Dan does not trade stocks or other securities. Rather, he dollar-cost averages into cheap funds and index funds and holds them forever in tax-advantaged accounts.