Warren Buffett’s Berkshire Hathaway made significant changes to its investment portfolio in 2024. The company’s cash pile reached a record $325.2 billion at the end of the third quarter, with most of it invested in U.S. Treasurys. Berkshire reduced its stake in Apple, its largest holding, to about a third of what it was at the end of 2023.
It also trimmed positions in Bank of America, Capital One Financial, Charter Communications, Chevron, Louisiana-Pacific, Nu Holdings, and T-Mobile US. However, the company made new investments in Ulta Beauty, Domino’s Pizza, Heico Corp., and Pool Corp. It quickly sold most of its Ulta Beauty shares but added to its Heico holdings.
Berkshire also increased its stakes in Occidental Petroleum and Sirius XM. Notable exits from the portfolio included HP, Paramount Global, Snowflake, and Floor & Decor. Buffett admitted selling the Paramount Global shares at a loss.
Investors are closely watching how Berkshire will deploy its massive cash reserves, whether through new investments or share buybacks.
Berkshire adjusts Apple, boosts Heico investments
The company’s moves continue to draw attention as Buffett’s long-term value investing approach has consistently delivered strong returns.
Berkshire Hathaway’s diverse holdings span insurance, energy, manufacturing, retail, and transportation. Its subsidiaries include well-known brands like GEICO, BNSF Railway, See’s Candy, and Dairy Queen. The company also holds significant stakes in Apple and Coca-Cola.
Buffett’s ability to identify undervalued assets and drive their growth has been key to Berkshire’s success. The company has outperformed the S&P 500 this year, reflecting the strength of its strategy. Berkshire’s wholly owned businesses generate substantial cash flows, while its insurance segment provides both revenue and investable capital.
The conglomerate’s diversification across various industries contributes to its robust revenue stream. With Buffett’s 14% personal stake in the company, his interests align with those of shareholders. Berkshire Hathaway’s focus on long-term value creation and its resilience through market cycles make it an attractive option for investors seeking consistent, market-beating returns.
