Three stocks Warren Buffett bought – and five he cut
In the second quarter of 2023, Warren Buffett’s Berkshire Hathaway bought three new stocks – all home-building companies- D.R. Horton, NVR Inc., and Lennar Corp.
Bloomberg reported that the largest US homebuilders have been outperforming smaller rivals, with stocks rallying and the companies welcoming a surge of buyers frustrated by a severe shortage of existing-home listings.
Lennar, D.R. Horton and NVR are all up more than 30% this year.
Berkshire was a net seller of equities during the three months ended June 30, divesting about $7.98 billion more of shares than it bought.
Berkshire Hathaway reduced its stake in five companies – Chevron Corp, Activision Blizzard, General Motors, Celanese Corp, and Globe Life.
The company increased its stake in Occidental Petroleum and Capital One Financial.
Notably, Berkshire slashed its stake in Activision Blizzard by more than 70% during Q2, as the video game maker’s proposed deal with Microsoft has run into antitrust scrutiny.
Bloomberg reported that shares of Activision Blizzard have gained 19% this year, but the proposed deal with Microsoft has run into antitrust scrutiny, delaying the process.
Buffett is regarded as one of the greatest investors ever and has left an indelible mark on the finance world.
He has become an iconic figure in the investment community because of his extraordinary success and down-to-earth personality.
Buffett’s journey began in Omaha, Nebraska, where he developed an early interest in business and investing.
As a young boy, he would spend hours reading financial books and analysing stock market data.
Buffett’s passion for investing grew stronger as he progressed through his education, and he eventually earned a Master of Science in Economics from Columbia Business School.
After completing his education, Buffett established his own investment partnership in 1956, laying the foundation for his eventual success.
In 1965, Buffett took control of Berkshire Hathaway, a textile company he turned into an investment vehicle and one of the world’s largest companies by market cap.
Buffett – now 92 years of age – is still the CEO and chairman of Berkshire Hathaway, with his long-term partner Charlie Munger as the vice chairman.
Buffett’s investment strategy – value investing – involved buying shares of companies with solid fundamentals trading below their intrinsic value.
This patient and disciplined approach helped him navigate market fluctuations and generate exceptional returns.
Warren Buffett’s fame stems not only from his investment prowess but also from his unique personal qualities.
Despite accumulating immense riches, he has maintained a humble and frugal lifestyle, living in the same house he purchased decades ago and eschewing flashy displays of wealth.
Buffett’s annual shareholder letters and charismatic presence at Berkshire Hathaway’s annual meetings have further endeared him to investors worldwide.
Moreover, Buffett is renowned for his philanthropic efforts. He pledged to donate most of his fortune to charitable causes.
His partnership with Bill and Melinda Gates to establish The Giving Pledge has inspired numerous billionaires to commit their wealth to philanthropy.
Berkshire Hathaway share portfolio
The table below shows Warren Buffett’s Berkshire Hathaway share portfolio on 30 June 2023.
| Company | Portfolio Percentage | Change | Value |
| AAPL – Apple Inc. | 51.00% | No change | $177,591,247,000 |
| BAC – Bank of America Corp. | 8.51% | No change | $29,539,568,000 |
| AXP – American Express | 7.59% | No change | $26,410,584,000 |
| KO – Coca Cola Co. | 6.92% | No change | $24,087,999,000 |
| CVX – Chevron Corp. | 5.56% | Reduce 7.01% | $19,372,949,000 |
| OXY – Occidental Petroleum | 3.78% | Add 5.87% | $13,178,796,000 |
| KHC – Kraft Heinz Co. | 3.32% | No change | $11,560,036,000 |
| MCO – Moody’s Corp. | 2.46% | No change | $8,578,175,000 |
| HPQ – HP Inc. | 1.07% | No change | $3,714,461,000 |
| DVA – DaVita HealthCare Partners | 1.04% | No change | $3,626,522,000 |
| VRSN – Verisign Inc. | 0.83% | No change | $2,895,945,000 |
| C – Citigroup Inc. | 0.73% | No change | $2,543,471,000 |
| KR – Kroger Co. | 0.67% | No change | $2,350,000,000 |
| V – Visa Inc. | 0.58% | No change | $1,870,745,000 |
| MA – Mastercard Inc. | 0.45% | No change | $1,567,949,000 |
| AON – Aon Plc | 0.43% | No change | $1,496,442,000 |
| PARA – Paramount Global CL B | 0.43% | No change | $1,491,259,000 |
| LSXMK – Liberty SiriusXM Series C | 0.41% | No change | $1,414,207,000 |
| AMZN – Amazon.com Inc. | 0.40% | No change | $1,375,428,000 |
| CHTR – Charter Communications | 0.40% | No change | $1,406,638,000 |
| COF – Capital One Financial | 0.39% | Add 25.69% | $1,363,956,000 |
| ATVI – Activision Blizzard Inc. | 0.35% | Reduce 70.35% | $1,235,680,000 |
| SNOW – Snowflake Inc. | 0.31% | No change | $1,077,944,000 |
| GM – General Motors | 0.24% | Reduce 45.00% | $848,320,000 |
| NU – Nu Holdings Ltd | 0.24% | No change | $845,167,000 |
| ALLY – Ally Financial Inc. | 0.22% | No change | $783,290,000 |
| DHI – D.R. Horton | 0.21% | Buy | $726,454,000 |
| TMUS – T-Mobile US Inc. | 0.21% | No change | $728,114,000 |
| LSXMA – Liberty Sirius XM Series A | 0.19% | No change | $663,014,000 |
| MKL – Markel Corp. | 0.19% | No change | $652,392,000 |
| CE – Celanese Corp. | 0.18% | Reduce 39.24% | $620,519,000 |
| FWONK – Liberty Media Corp F1 | 0.17% | No change | $581,347,000 |
| LPX – Louisiana-Pacific Corp. | 0.15% | No change | $528,227,000 |
| FND – Floor & Decor Holdings | 0.14% | No change | $496,929,000 |
| GL – Globe Life Inc. | 0.08% | Reduce 60.41% | $275,757,000 |
| STNE – StoneCo Ltd. | 0.04% | No change | $136,260,000 |
| JNJ – Johnson & Johnson | 0.02% | No change | $54,142,000 |
| NVR – NVR Inc. | 0.02% | Buy | $70,568,000 |
| DEO – Diageo ADR | 0.01% | No change | $39,510,000 |
| LILA – Liberty LiLAC Group A | 0.01 | No change | $23,019,000 |
| MDLZ – Mondelez International | 0.01% | No change | $42,159,000 |
| PG – Procter & Gamble | 0.01% | No change | $47,859,000 |
| SPY – SPDR S&P 500 ETF Trust | 0.01% | No change | $17,465,000 |
| VOO – Vanguard S&P 500 ETF | 0.01% | No change | $17,513,000 |
| JEF – Jefferies Financial Group Inc. | 0.00% | No change | $14,381,000 |
| LEN.B – Lennar Corp. CL B | 0.00% | Buy | $17,238,000 |
| LILAK – Liberty LiLAC Group C | 0.00% | No change | $11,068,000 |
| UPS – United Parcel Service | 0.00% | No change | $10,647,000 |
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