Warren Buffett’s Berkshire Hathaway made notable moves in the third quarter. The company bought Domino’s Pizza for the first time and sold shares of Bank of America. Buffett still owns 300 million shares of Apple.
In Q3, Berkshire bought about 1.28 million Domino’s Pizza shares worth $549.3 million as of September 30. At the end of September, the company also purchased around 404,000 shares of Pool, a distributor of swimming pool supplies, worth about $152.3 million. Berkshire Hathaway grew its position as a jet engine supplier and opened a stake in the second quarter.
Over that period, Berkshire reduced its position in Ulta Beauty by 96.5% and decreased its stake in Nu Holdings by 19%. The company completely exited its position in Floor & Decor. Buffett remained a net seller of stocks in the third quarter, selling as the stock markets rose.
Buffett’s strategic investments in Q3
In Q3, Berkshire sold a net $34.6 billion worth of publicly traded stocks. The company bought $1.5 billion worth of stocks while selling $36.1 billion.
Buffett has been a net seller of stocks for eight consecutive quarters. At a May annual shareholders meeting, Buffett was asked why Berkshire was maintaining its massive cash position of $325 billion rather than using it. Buffett replied, “I don’t think anybody sitting at this table knows how to use it effectively, and therefore we don’t use it.
We only swing at pitches we like.”
Investors track Berkshire Hathaway’s stock portfolio because of its influence. Changes are notable because Warren Buffett tends to hold stocks for years or even decades. Class B shares of Berkshire Hathaway edged higher recently.
Although Berkshire stock slumped below the 50-day moving average in early November, it has regained the 50-day line and is up 32% this year.
