Berkshire Hathaway increased Apple and Chevron holdings at last quarter

Berkshire Hathaway increased Apple and Chevron holdings at last quarter

Web Desk
August 16, 2022

Berkshire Hathaway increased Apple and Chevron holdings at last quarter

Warren Buffett’s Berkshire Hathaway (BRK.B, $302.82) was once again net buyers of stocks for the three months ending June 30.
Berkshire spent $3.8 billion on stocks in the second quarter, less than the $41 billion it netted in equity acquisitions in the first three months of 2022 after deducting sales.
In July, Berkshire Hathaway increased its stake in Occidental oil and gas company OXY by another 4.3 million shares for $250 million.

Occidental Petroleum (OXY, $64.34), Apple (AAPL, $173.16), Chevron (CVX, $156.20), and a few other stocks were added to by Warren Buffett’s Berkshire Hathaway (BRK.B, $302.82) during the market’s second-quarter slump, but the holding company didn’t make any noteworthy or unexpected new moves, according to a regulatory filing made late Monday.

Although their rate of purchasing fell significantly compared to Q1, Chairman and CEO Buffett, co-portfolio managers Ted Weschler and Todd Combs, and they were once again net buyers of stocks for the three months ending June 30.

Berkshire spent $3.8 billion on stocks in the second quarter, less than the $41 billion it netted in equity acquisitions in the first three months of 2022 after deducting sales. During the second quarter, the S&P 500 lost more than 16% of its value. It suffices to say that Buffett and his henchmen once again displayed greed while others were afraid.

As of June 30, the corporation possessed roughly 895 million shares in the creator of the iPhone, for a total investment of $122.3 billion. At the conclusion of Q2, AAPL represented 41% of Berkshire’s portfolio value. As a result of a decline in the price of Apple’s stock, that is down from 43% at the end of the first quarter.

Additionally, Buffett has been actively increasing Berkshire’s holding in Occidental Petroleum. In late June, Berkshire added 9.6 million shares to its holdings in the integrated oil and gas company, at a total cost of around $530 million. In July, the holding firm increased its position once again by acquiring an additional 4.3 million OXY shares for $250 million.

Berkshire holds nearly 30% of the outstanding OXY shares, including warrants. Naturally, the conglomerate’s sizable and expanding stake in OXY is stoking rumours that Buffett may be considering a takeover bid for Occidental Petroleum.

Berkshire increased its shares in Chevron, Celanese (CE, $116.22), Paramount Global (PARA, $26.55), and Ally Financial (ALLY, $35.68), among other major acquisitions.

On the other hand, Berkshire sold the remaining portion of its modest holding in Verizon (VZ, $45.55), the only stock in the Dow Jones Industrial Average that is related to telecoms. Additionally, Berkshire sold its brief investment in Royalty Pharma (RPRX, $43.87).

Berkshire reduced its holding in Store Capital (STOR, $29.24) by more than 50% via other stock transactions. Additionally, Buffett lessened Berkshire’s position to Kroger (KR, $47.52) and General Motors (GM, $39.40).

Buffett and his aides ultimately had a rather calm day, making basically insignificant decisions. After all, the portfolio of Berkshire Hathaway is very concentrated, with its top five holdings representing 75% of the overall portfolio value. The impact of STOR, GM, and KR is minimal in this situation.

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