The portfolio of Berkshire Hathaway includes both well-known growth investments and a varied selection of blue chips. Here, we examine every stock that Buffett and his group have chosen.
The stocks that Warren Buffett recommends now aren’t always the same Indeed, the Berkshire Hathaway (BRK. B) Over the past few years, the equity portfolio has undergone a significant change. Even though the foundation of the portfolio still consists of traditional favorites like Coca-Cola (KO) and American Express (AXP), Buffett have grown fond of brands like Apple (AAPL) and Amazon com (AMZN), as well as lesser-known companies like Nu Holdings (NU) and Snowflake (SNOW)
Nonetheless, Buffett’s inclination to keep a highly concentrated portfolio hasn’t altered. Apple accounts for more than half of Berkshire Hathaways U. S. stock portfolio, with the five largest holdings comprising more than 80% of the total. The top 10 holdings account for 93%.
However, Buffett’s attention shifted following the COVID-19 pandemic, regardless of the stocks Berkshire maintains at the margin or the firm’s largest wagers.
Warren Buffett, the legendary investor and CEO of Berkshire Hathaway, is renowned for his long-term investment strategy and focus on high-quality companies with strong competitive advantages Among his numerous holdings, Visa Inc (V) stands out as a significant investment, reflecting Buffett’s belief in the company’s long-term potential.
Visa: A Core Holding in Buffett’s Portfolio
Visa, the global leader in digital payments, occupies a prominent position in Buffett’s portfolio, currently representing 0.65% of Berkshire Hathaway’s equity holdings. This translates to a substantial investment of $2.25 billion, making Visa the 13th largest holding in the portfolio.
A History of Transactions: Building a Position over Time
Buffett’s involvement with Visa dates back to 2011, with the initial purchase of 8.3 million shares in the third quarter of that year. Since then he has engaged in a series of transactions, both buying and selling shares gradually building his position in the company.
A Profitable Investment: Significant Gains Realized
The total cost of acquiring Visa shares for Berkshire Hathaway stands at $431 million. However, the current value of the holding has soared to $2.25 billion, representing a remarkable gain of 422%. This impressive performance highlights Buffett’s ability to identify and invest in companies with long-term growth potential.
A Detailed Breakdown of Transactions: A Closer Look
To gain a deeper understanding of Buffett’s approach to Visa, let’s delve into the individual transactions he has made:
- Q3 2011: Initial purchase of 8.3 million shares.
- Q3 2012: Sale of 524,000 shares, representing a 25.2% reduction in the position.
- Q2 2012: Significant increase of 1.74 million shares, representing a 515.2% growth.
- Q1 2012: Sale of 2.53 million shares, constituting an 88.2% reduction.
- Q4 2011: Increase of 573,000 shares, representing a 25.0% expansion.
- Q3 2014: Increase of 347,000 shares, representing a 19.3% growth.
- Q2 2014: Increase of 244,000 shares, representing a 15.7% expansion.
- Q1 2015: Substantial increase of 7.38 million shares, representing a 293.9% growth.
- Q1 2016: Increase of 354,000 shares, representing a 3.6% expansion.
- Q3 2016: Increase of 323,000 shares, representing a 3.2% growth.
- Q2 2020: Sale of 575,000 shares, representing a 5.4% reduction.
- Q3 2021: Sale of 425,000 shares, representing a 4.3% reduction.
- Q4 2021: Sale of 1.27 million shares, representing a 13.2% reduction.
Buffett’s Confidence in Visa: A Long-Term Perspective
Despite the fluctuations in his holdings, Buffett’s overall approach to Visa reflects a long-term perspective and a belief in the company’s potential for continued growth. The significant gains he has realized on his investment further validate his decision-making and reinforce his reputation as a successful investor.
Warren Buffett’s investment in Visa serves as a testament to his philosophy of focusing on high-quality companies with strong competitive advantages, a long-term investment horizon, and the potential for significant returns. His track record with Visa demonstrates the success of this approach and provides valuable insights for investors seeking to emulate his investment strategies.
Bank of America (Image credit: Gary Hershorn/Getty Images)
Buffett attacked his holdings of bank stocks with hacks and slashes for the most of 2020 and 2021. However, his dedication to Bank of America (BAC) is unwavering.
Buffett first became interested in BAC in 2011, when he intervened to support the company’s finances following the Great Recession. Berkshire received preferred stock yielding 6% and warrants granting Berkshire the right to purchase B of A common stock at a steep discount in exchange for investing $5 billion in the company. (The Oracle of Omaha profited $12 billion by exercising those warrants in 2017. ).
The last time was at the end of Q4 2023, when Berkshire hosted 1 0 billion BAC shares. The stake represents 2010% of the holding company’s equity portfolio, placing it in the second-largest position.
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At the beginning of 2020, Buffett held airline stocks; as of right now, he has none. When Buffett stocks started 2020, banks were the best; however, over the previous few years, Berkshire has been eliminating the majority of them. And it seems like yesterday that Buffett was a fervent purchaser of specific brand names in pharmaceuticals. Today, most of those positions have been closed out too.
To find out which stocks are deemed worthy of the time and attention of renowned investor Warren Buffett, simply refer to the Berkshire Hathaway equity portfolio. (And remember as always: Todd Combs and Ted Weschler, who co-manage the portfolio, actually selected a number of these stocks. ).
Continue reading as we highlight every stock in Berkshire Hathaway’s portfolio, examine the stocks that Warren Buffett is purchasing and selling in greater detail, and focus on a few of his best stock recommendations.
Price, share totals and other data as of December 31, 2023. Sources: Berkshire Hathaway’s SEC Form 13F filed February 14, 2024, for the reporting period ended December 31, 2023; and WhaleWisdom.
Warren Buffett Talks Visa and Mastercard (2018)
FAQ
How many shares of Visa does Warren Buffett own?
What funds does Warren Buffett own?
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Company
|
Shares held
|
Holding value
|
|
Vanguard S&P 500 ETF (VOO)
|
43,000
|
$18,782,400
|
|
SPDR S&P 500 Trust ETF (SPY)
|
39,400
|
$18,727,214
|
|
Jefferies (JEF)
|
433,558
|
$17,520,079
|
|
Liberty Latin Americ Class C (LILAK)
|
1,284,020
|
$9,424,707
|