Warren Buffett’s Berkshire Hathaway updates portfolio in June quarter; trims stake in Apple nearly 50%, adds Heico

Warren Buffett’s Berkshire Hathaway has once again captured the attention of investors with its latest portfolio adjustments in the June quarter. According to a recent post on X (formerly Twitter) by financial analyst Andrew Lokenauth, Berkshire Hathaway has $280 billion invested across 41 stocks.

Key Changes

The most significant change in Berkshire’s portfolio was a surprising 49.33 percent reduction in its stake in Apple Inc. Despite this sizable sell-off, Buffett still holds a substantial 400 million shares in the tech giant, valued at a staggering $84.25 billion. Apple has long been one of Berkshire’s cornerstone investments, making this reduction a notable shift in strategy.

In addition to Apple, Berkshire Hathaway also trimmed its positions in several other major companies.

He has also reduced his weights in Capital One Finance by 21.27 percent, Floor & Decor Holdings by 16.78 percent, T-Mobile US by 10.87 percent, Louisiana-Pacific Corp by 9.6 percent, Chevron Corp by 3.55 percent, Liberty Media Corp. Series C Live by 1.93 percent and Liberty Media Corp. Series A Live by 1.29 percent.

These adjustments suggest a more cautious approach by Buffett, possibly in response to broader economic concerns and rising valuations.

While some positions were reduced, Buffett also increased his stakes in several companies, showing confidence in these investments moving forward. The most significant increase was in Sirius XM Holdings, where Berkshire raised its stake by an impressive 262.24 percent during the June quarter.

Additionally, increases were made in - Liberty Sirius XM Series A by 7.41 percent, Liberty Sirius XM Series C by 6.9 percent, Chubb Limited by 4.28 percent, and Occidental Petroleum by 2.93 percent.

These moves indicate Buffett's continued belief in the long-term potential of these companies, particularly in the media and insurance sectors.

Berkshire Hathaway’s latest disclosures also revealed new, albeit small, stakes in the cosmetics retailer Ulta Beauty and the aerospace firm Heico. These additions reflect Buffett’s strategy of diversifying into sectors with strong growth prospects, even as he remains cautious overall.

Apart from these key changes, Buffett’s portfolio continues to include long-held positions in some of the world’s most recognized companies, such as Bank of America, American Express, Coca-Cola, Kraft Heinz, Moody’s Corp, Citigroup, Kroger, Verisign, Visa, Amazon, Mastercard, and Jefferies.

These moves highlight Buffett’s ongoing balancing act—reducing exposure to certain high-performing stocks while increasing stakes in others that he believes hold significant long-term value. As always, the Oracle of Omaha’s decisions provide valuable insights for investors worldwide, especially in uncertain economic times.

Recently, Warren Buffett's Berkshire Hathaway recently increased its cash position to 25 percent of total assets in the June quarter, a level not seen since 2005. By the end of June, the conglomerate's cash and cash equivalents surged to an unprecedented $276.9 billion.

This accumulation followed the notable reduction in holdings suggesting that rising asset prices have made it more challenging to find attractive investment opportunities.

During Berkshire Hathaway's Annual General Meeting (AGM) in May, Warren Buffett expressed a cautious approach to equity investments, stating he wasn't eager to buy more unless the opportunities presented “very little risk and could yield significant returns.”

This increase in cash holdings aligns with growing concerns about a potential U.S. recession, exacerbated by weak employment indicators. Buffett's decision to trim positions in key stocks may also reflect his anticipation of higher corporate taxes in the near future. "With current fiscal policies, something has to give, and I believe higher taxes are quite likely," Buffett remarked during the May 2024 AGM.