Here’s a move that’s turning heads in the investment world: Warren Buffett’s Berkshire Hathaway has quietly amassed a staggering $4.9 billion stake in Alphabet, the parent company of Google. But here’s where it gets controversial—while Buffett’s bet on tech might seem like a no-brainer, his simultaneous trimming of holdings in Bank of America and Apple raises questions about his broader strategy. Is the Oracle of Omaha pivoting away from traditional sectors, or is this just another calculated play in his diversified portfolio?
According to a regulatory filing released Friday, Berkshire acquired 17.9 million shares of Alphabet during the third quarter, representing a modest 0.31% of the company’s outstanding shares. Yet, this move comes at a time when Buffett, now 95 and planning to step down as CEO by year-end, is actively deploying Berkshire’s record-breaking $382 billion cash pile. And this is the part most people miss—Buffett’s recent deals, including a $9.7 billion purchase of Occidental Petroleum’s petrochemical business and a $1.6 billion stake in UnitedHealth Group, suggest a strategic shift toward industries he believes are undervalued or poised for growth.
Alphabet’s shares responded positively, climbing 1.7% to $281 in after-hours trading. But the real story isn’t just about Alphabet. Berkshire also added 4.3 million shares of insurer Chubb Ltd., bringing its total holdings in the company to $8.8 billion. However, despite these high-profile buys, Berkshire was a net seller of equities during the quarter, offloading $6.1 billion in stocks.
One of the most talked-about moves was Berkshire’s 15% reduction in its Apple stake, which still stands at a hefty $60.7 billion as of September 30. Apple remains a cornerstone of Berkshire’s portfolio, accounting for nearly a quarter of its equity holdings. Meanwhile, Buffett sold 37.2 million shares of Bank of America, reducing his stake in the financial giant to 7.7%.
Here’s the bold question for you: Is Buffett’s growing interest in tech and healthcare a sign of the times, or is he simply diversifying further to hedge against market volatility? And what does his exit from D.R. Horton, a major U.S. homebuilder, while increasing his stake in Lennar Corp., tell us about his outlook on the housing market?
Buffett’s moves are always a masterclass in long-term thinking, but this time, they’re sparking more debate than usual. What’s your take? Is Buffett onto something, or is he spreading himself too thin? Let us know in the comments—this is one conversation you won’t want to miss.