Warren Buffett's Berkshire Hathaway recently released their latest form 13F.
This document reveals every move he made last quarter and gives us an update on his entire portfolio.
I spent hours reviewing it, and found 10 key takeaways for us to review. 👇
1. Buys and Sells
In the most recent quarter, Buffett added to 5 positions, and added 1 entirely new position, Constellation Brands (STZ).
He reduced the size of 8 positions, and sold out of 3 positions entirely.
2. Cash Position is STILL Growing
1.5 years ago, investors were astounded that Buffett's cash position was above $150B (A record).
His cash position is now?
Estimated to be close to $334B.
3. Finally done selling Apple Stock
Buffett had been reducing his $AAPL position for 4 consecutive quarters.
Q4 2023: Reduced $AAPL -1.09%
Q1 2024: Reduced $AAPL -12.83%
Q2 2024: Reduced $AAPL -49.33%
Q4 2024: Reduced $AAPL -25%
Before the selling, $AAPL was 51% of his portfolio.
It nows sits at 28.12%.
Buffett had previously hinted that these sells were for 'tax purposes'.
Was Buffett expecting a Harris/Waltz administration in the White House, leading to higher capital gains tax?
4. Buy and Hold Forever? (Or for a few quarters?)
In Q2 of 2024, Buffett bought $ULTA.
By Q4 of 2024, he sold completely out of $ULTA.
This trend of quick buy and sells has become more common for Buffett recently.
EX: $PARA (2 year holding period)
The average holding period for each stock in his portfolio is now around 6.1 years.
5. Di-Worsification?
Buffett has 38 holdings in his portfolio.
But the top 10 holdings makeup 89.72% of his portfolio.
Here are the top 10 holdings and allocation:
🍏 AAPL - Apple Inc. → 28.12%
💳 AXP - American Express → 16.84%
🏦 BAC - Bank of America Corp. → 11.19%
🥤 KO - Coca Cola Co. → 9.32%
🛢️ CVX - Chevron Corp. → 6.43%
⛽ OXY - Occidental Petroleum → 4.89%
📊 MCO - Moody's Corp. → 4.37%
🧀 KHC - Kraft Heinz Co. → 3.74%
🏢 CB - Chubb Limited → 2.80%
🏥 DVA - DaVita HealthCare Partners → 2.02%
6. The New Buy
The only new purchase in Buffett's portfolio was $STZ, Constellation Brands.
$STZ is a prominent producer and marketer of beer, wine, and spirits. Their portfolio includes well-recognized beer brands such as Corona Extra, Modelo Especial, and Pacifico.
The company trades at a 13.21 forward PE ratio, which is 36% lower than its 5 year average of 20.67.
7. Dumping the S&P 500!?
Warren Buffett sold 100% of his position in $SPY and $VOO (S&P 500 ETFs).
To be fair, these were extremely small positions in his portfolio.
With that being said, the PE ratio of the S&P 500 is far higher than its historical average.
8. Financials and Tech
Financial and tech stocks continue to be the largest holdings in Buffett's portfolio.
Combined, they make up 65.68% of his portfolio.
9. Buffett is a Net Seller of Stocks
Buffett has been a net seller of stocks for multiple quarters.
Total Buys: $9.14 billion (new purchases and increased holdings).
Total Sells: $35.48 billion (reduced holdings).
10. Buffet Still Likes His Dividend Stocks
Buffett loves receiving dividends.
9 out of 10 of Buffett's top holdings pay a dividend.
Here's the dividend yield for each:
🍏 AAPL - Apple Inc. → 0.42%
💳 AXP - American Express → 0.95%%
🏦 BAC - Bank of America Corp. → 2.37%
🥤 KO - Coca Cola Co. → 2.88%
🛢️ CVX - Chevron Corp. → 4.41%
⛽ OXY - Occidental Petroleum → 1.98%
📊 MCO - Moody's Corp. → 0.75%
🧀 KHC - Kraft Heinz Co. → 5.23%
🏢 CB - Chubb Limited → 1.33%
🏥 DVA - DaVita HealthCare Partners → 0.00%
Check out these resources:
Tickerdata 🚀 (My automated spreadsheets and instant stock data for Google Sheets!)
Interactive Brokers 💰 (My favorite place to buy and sell stocks all around the world!)
Seeking Alpha 🔥 (My favorite investment research platform!)
The Dividend Report 📊 (Free Newsletter for Straightforward Dividend Stock News)
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That’s all for now!
See you next week!
Dividendology 🚀
Buffett stacking cash while trimming AAPL and dumping the S&P? Feels like he's bracing for something big. Curious, do you see this as caution or a strategic pivot?