The insurance titan released its 3rd-quarter portfolio update, revealing new buys in a pizza chain company and a pool supplies company
By GuruFocus
Insights into Berkshire Hathaway’s Latest 13F Filing
Warren Buffett (Trades, Portfolio), often referred to as “The Oracle of Omaha,” is a towering figure in the world of investing. As the Chairman of Berkshire Hathaway, he transformed a modest textile company into a colossal conglomerate, primarily focusing on insurance and other diverse investments. Buffett’s investment philosophy, deeply influenced by Benjamin Graham, emphasizes understanding a business deeply, investing in companies with favorable long-term prospects, and purchasing at a significant discount to intrinsic value. His disciplined approach has consistently outperformed the market, making his investment moves a focal point for investors globally.
Summary of New Buys
Warren Buffett’s portfolio saw the addition of two new stocks in the third quarter of 2024. Domino’s Pizza Inc (DPZ, Financial) was the standout addition with 1,277,256 shares, making up 0.21% of the portfolio, valued at approximately $549.4 million.
Pool Corp (POOL, Financial) was also added with 404,057 shares, representing about 0.06% of the portfolio, with a total value of $152.25 million.
Key Position Increases
Buffett also increased his stakes in two companies, including Sirius XM Holdings Inc and Heico Corp. Sirius XM saw an addition of 3,774,673 shares, bringing the total to 105,155,029 shares. This adjustment increased the share count by 3.72%, impacting the portfolio by 0.03%, with a total value of $2.49 billion.
Heico Corp had a modest increase of 5,445 shares, bringing the total to 1,049,687 shares, representing a 0.52% increase in share count, valued at $213.88 million.
Summary of Sold Out Positions
In the third quarter of 2024, Buffett decided to exit his position in one company: Floor & Decor Holdings Inc was completely sold off, with all 3,977,870 shares liquidated, impacting the portfolio by -0.14%.
Key Position Reductions
Significant reductions were made in six stocks, including notable sales in Apple and Bank of America. Apple saw a reduction of 100,000,000 shares, a 25% decrease, impacting the portfolio by -7.52%. The stock traded at an average price of $223.32 during the quarter, with a 3-month return of 3.05% and a year-to-date return of 19.12%.
Bank of America Corp was reduced by 235,168,699 shares, a 22.77% decrease, impacting the portfolio by -3.34%. The stock’s average trading price was $40.08 during the quarter, with a 3-month return of 19.25% and a year-to-date return of 39.26%.
Portfolio Overview
As of the third quarter of 2024, Warren Buffett’s portfolio comprised 40 stocks. The top holdings included Apple, American Express, Bank of America, Coca-Cola and Chevron, with portfolio weights of 26.24%, 15.44%, 11.88%, 10.79% and 6.56%.