Berkshire Hathaway sold a portion of its Apple shares in Q3 but also initiated a new stake in Alphabet, making the move unexpected but not surprising. The company’s value-oriented strategy led it to purchase a cheaper AI stock amidst concerns of overvaluation in the sector. With Warren Buffett’s impending departure, investors continue to monitor Berkshire’s portfolio moves closely. Berkshire’s stock performance over the years and its team of investors make it a top choice for many investors. It remains one of the strongest companies globally, despite Buffett’s upcoming exit.
Berkshire sold 15% of its Apple shares in Q3, reducing its position to 238.2 million shares valued at $60.6 billion. Apple remains Berkshire’s largest equity holding, consuming 21% of its $309 billion equities portfolio. Berkshire’s gradual exit from Apple signals a strategic approach to portfolio management, in line with Buffett’s past practices. Due to its size, Berkshire’s entry and exit from positions take time, with the company now preparing for a full exit from Apple.
Berkshire’s new position in Alphabet consists of over 17.8 million shares valued at more than $4.3 billion, consuming 1.6% of its portfolio. Alphabet faced antitrust concerns but emerged unscathed, with investors cheering a recent court ruling in its favor. Berkshire’s interest in Alphabet stems from its discount valuation compared to peers and the company’s diverse high-growth businesses beyond search.
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