Is this part of the reason why Warren Buffett is so successful with picking stocks?

When Warren Buffett buys a stock and people find out later on that he bought it some people will think "Warren Buffett bought this stock, so it must be a good investment". When many people have that same idea then the demand of that stock that Buffett bought initially should rise, and with it the price should rise.

This would lead me to think that whatever stock Warren Buffett buys, its value would automatically rise because so many people believe in what he does and then would want to buy the stock, increasing its price.
Is this part of the reason why Warren Buffett has been so successful?

kswck22017-08-23T18:24:17Z

When Buffet buys a stock, the public doesn't find out about it for some time, because the amounts he buys can drastically affect the run up (or down) on the price of a stock. And sometimes he gets burned (think airline stocks). But people do say that IF he buys a stock, since he has already done the head work on the company, many folks want that stock too. And many times Buffet has insider information that is generally not available to the public.

Adam J2017-08-23T05:34:07Z

It certainly hasn't hurt him recently. However Buffet definitely didn't start out with his current reputation, and he had to beat the market for a very long time before he was a household name and people followed his investments...

RAGHAVENDRAN2017-08-23T00:52:06Z

True.

Richard2017-08-22T14:35:34Z

That is not how he became successful, and he has also made some bad investments and burned his fingers. He is successful because he is very careful about what stocks he buys and he looks to the long term rather than constantly switching stocks. His "followers" might have a short term effect on the price, but not the long term value.