Best Stocks for 2008: In the 'sweet spot' with Berkshire B (BRK.b)

For 25 years, Steven Halpern, editor of TheStockAdvisors.com, has surveyed the leading financial newsletter advisors asking for their favorite stocks for the coming year. This article is one of 100+ ideas in the Best Stocks for 2008 report.

"Want to take advantage of the subprime debacle, but you're too frightened or don't know how?" asks Jack Adamo in his Insiders Plus. "The ultimate insider, Warren Buffett, does.

"Every time the market has a sector meltdown, the Wizard of Omaha swoops down like a hawk and picks off great bargains. He made tons of money for Berkshire Hathaway B (NYSE: BRK.b) investors after the tech crash by buying 'junk bonds' of strong telecom companies he knew would survive -- and tech isn't even an area Buffett knows well.

"Financial stocks are his sweet spot. He'll snatch up great bargains in distressed securities in the next few quarters.

"Then, in 2008 or 2009, the company will deliver fabulous earnings, and the stock price will shoot up again. Buy Berkshire-Hathaway Class-B, preferably on pullbacks below $4,200. Don't let the price scare you. The shares are cheap on a P/E or price/earnings-to-growth basis. I consider the stock a top conservative buy for 2008."