Based on his incredible track record of success, Warren Buffett is without a doubt the most well-known and significant investor in contemporary history. Not surprisingly, the investment portfolio of Berkshire Hathaway Inc. (BRK. A), his longstanding holding company, is widely covered by the media and scrutinized, despite the fact that Buffett no longer makes all of the investment decisions.
Buffet’s business has experienced unmatched success; since 1965, it has generated compound annualized gains of 19 8% vs. 10. 2% for the S&P 500. But his investment strategy has always been clear-cut, uncomplicated, and reliable. As Buffet put it in his Feb. Letter dated 24 April 2024 to Berkshire shareholders: “Berkshire’s unusual consistency and purpose clarity are to its advantage.” He makes investments in big, well-known businesses with strong balance sheets and competitive prices. Since my first stock purchase on March 11, 1942, I can’t recall a time when the majority of my net worth hasn’t been invested in stocks, U S. -based equities,” he said in his 2024 letter. Buffett is a long-term investor, but he has never shied away from making sizable new bets or selling substantial holdings. We examine his largest holdings below and extract some investment advice for other people.
Here are the top five stocks in Berkshire Hathaway’s portfolio as of December, per its filings with the Securities and Exchange Commission. 31, 2023:
Warren Buffett is widely considered to be one of the most successful investors in history. His long track record of picking winners has earned him the nickname “the Oracle of Omaha.” Investors closely follow changes in his portfolio for guidance on their own investment choices.
This article will explore the top 5 stocks in Warren Buffett’s portfolio as of November 2023, based on information from Investopedia and Forbes Advisor:
1. Apple (AAPL):
- Berkshire’s Stake: 5.9%
- Value of Stake: $153.6 billion
- Share of Berkshire’s Portfolio: 41.4%
Apple is the world’s most valuable public company and Warren Buffet’s largest stock holding. Under the leadership of CEO Tim Cook, Apple has continued to provide outstanding value to long-term shareholders. Berkshire Hathaway began investing in Apple back in 2016, and today AAPL represents the company’s largest equity position, making up more than 41% of its total portfolio.
2, Bank of America Corp, (BAC):
- Berkshire’s Stake: 13.1%
- Value of Stake: $38.7 billion
- Share of Berkshire’s Portfolio: 10.4%
Bank of America is a leading U.S. financial firm and bank holding company. Its robust consumer business offers checking and savings accounts, credit cards and mortgages. It also caters to business customers around the globe with financial products and services. Warren Buffet first invested in BAC in 2011, when the eurozone debt crisis threatened the bank. Bank of America makes up more than 10% of Berkshire Hathaway’s holdings.
3. American Express Co. (AXP):
- Berkshire’s Stake: 20.9%
- Value of Stake: $34.4 billion
- Share of Berkshire’s Portfolio: 9.3%
American Express is best known for its iconic credit cards. Still, the company also operates a range of travel-related services, banking products, merchant services, and payment and expense management systems Buffett began investing in American Express starting in 1991, buying preferred stock that converted to common stock in 1994 Today, AXP makes up more than 8% of Berkshire Hathaway’s portfolio.
4. Coca-Cola Co (KO):
- Berkshire’s Stake: 9.3%
- Value of Stake: $23.9 billion
- Share of Berkshire’s Portfolio: 6.5%
Coca-Cola is one of the biggest consumer staples stocks in the U.S., offering products from its iconic namesake cola to snacks and sports drinks. Despite operating in many highly competitive markets, KO has provided solid returns and dependable dividends for decades. Coca-Cola is Berkshire’s oldest equity position—the firm first started buying KO in 1988. Buffett is on the record asserting that he will never sell any of his shares, and Coca-Cola makes up around 7% of Berkshire Hathaway’s portfolio today.
5. Chevron Corp (CVX):
- Berkshire’s Stake: 6.8%
- Value of Stake: $20.2 billion
- Share of Berkshire’s Portfolio: 5.5%
Chevron is one of the largest diversified, multinational energy companies on earth and is the second biggest energy company in the U.S. market after ExxonMobil (XOM). The company is active in every stage of producing, refining, and retailing petroleum products. CVX is a relatively new holding for Berkshire—the company first purchased shares at the end of 2020. Today, Chevron makes up approximately 8.3% of Berkshire Hathaway’s holdings.
Why Do Investors Love Warren Buffett?
Warren Buffett began his career as an investor when he was just 11 years old, and his strategy is marked by equal parts patience and appreciation of the value of long-term investing. Buffett is the CEO of Berkshire Hathaway (BRK.B), a holding company that owns a highly diversified portfolio of different businesses and stocks.
Buffett took over Berkshire Hathaway in the 1960s and turned it into a holding company with subsidiaries in various industries, including insurance, rail freight, and energy. Berkshire Hathaway has built up positions in a wide range of public companies, from technology firms to financial institutions. Its equity portfolio includes sizable stakes in several leading blue-chip stocks.
Regarding stock performance, Berkshire Hathaway has a legacy of strong returns. Berkshire Hathaway’s Class B (BRK-B) had a 60% five-year return and a 229% 10-year return. To put those numbers in perspective, consider that the SPDR S&P 500 (SPY), an exchange-traded fund that tracks the performance of the S&P 500 index, had a 57% five-year return and a 180% 10-year return.
About Berkshire Hathaway
With a market capitalization over $600 billion, Berkshire is the largest financial stock in the U.S. market and among the ten largest U.S. public companies. Berkshire owns and operates a diverse range of portfolio companies, including familiar names like Geico, Duracell, Dairy Queen, Fruit of the Loom, and Clayton Homes.
Berkshire Hathaway’s roots date back to the Berkshire Cotton Manufacturing Company of Adams, Mass., established in 1889, and the Hathaway Manufacturing Company, founded in 1888 in New Bedford, Mass. Buffett bought the failing textile company in 1964 and then began using it as a platform to invest in other companies and industries. The core of Berkshire’s business has long been insurance, which provides steady cash flow to invest in other holdings.
What Companies Does Berkshire Hathaway Own?
In addition to owning stock in more than 50 different publicly traded companies, Berkshire Hathaway owns majority stakes in a number of private companies as well. Some of these companies have been acquired in their entirety by Buffett and are now run as wholly owned subsidiaries of Berkshire Hathaway.
Will Berkshire Hathaway Buy Occidental Petroleum?
No, according to Warren Buffett at the 2023 annual meeting. “We’re not going to buy control, despite rumors to the contrary. We wouldn’t know how to handle it, he remarked.
Bank of America
Bank of America is Berkshire Hathaway’s second-largest holding, with a $34 8 billion as of Dec. 31, 2023, or about 10% of its portfolio. Berkshire Hathaway held 13. 12% of the banks outstanding shares as of Dec. 31, 2023.
In exchange for warrants it received from a $5 billion investment in the bank’s preferred stock in 2011, Berkshire Hathaway purchased 700 million of the more than 1 billion shares of Bank of America it currently owns in 2022.
WHAT ARE WARREN BUFFETT’S TOP 5 STOCKS FOR 2023????
FAQ
What stock does Warren Buffett own the most of?
What is Warren Buffett’s current portfolio?
How many stocks did Warren Buffett own in Q1 2023?
The Chairman and CEO of Berkshire Hathaway owned 46 individual stocks as of Q1 2023. We picked the top 15 stocks from the Q1 2023 portfolio of Warren Buffett’s Berkshire Hathaway. These 15 stocks represent over 94% of Berkshire Hathaway’s portfolio. The stocks have been ranked in ascending order of the hedge fund’s stake in them during Q1 2023.
What are Warren Buffett’s top 15 stock picks in 2023?
In addition to Occidental Petroleum Corporation (NYSE:OXY), stocks such as Bank of America Corporation (NYSE:BAC), Apple Inc. (NASDAQ:AAPL), and the Coca-Cola Company (NYSE:KO) are also amongst the top 15 stock picks of Warren Buffett’s 2023 portfolio. Click to continue reading and see Warren Buffett’s 2023 Portfolio: Top 5 Stock Picks.
Is Warren Buffett a good investment?
Simply because Warren Buffett holds a stock does not mean that it is the right investment to hold in your portfolio. If you have questions about which stocks are right for you, it’s always recommended to consult a financial advisor about your investing decisions.
Is Berkshire Hathaway the poster child of Warren Buffett stocks?
At the beginning of 2024, Berkshire’s position in Apple was worth a whopping $174.4 billion. In fact, Berkshire Hathaway is a major institutional owner of AAPL stock, which you could call the poster child for Warren Buffett stocks due to its strong earnings, returns and management. Top Buffett stocks tend to be dividend growers.