Berkshire Hathaway surprised investors by adding Alphabet to its portfolio, a move CEO Warren Buffett typically avoids with tech stocks. This could signal a shift in strategy as Buffett steps down at the end of the year. The company’s cash balance hit record levels this year, prompting speculation on future investments. Alphabet now accounts for 1.7% of Berkshire’s portfolio, suggesting a potential pivot towards tech stocks under new leadership.

Buffett expressed regret for not investing in Alphabet earlier, citing the company’s strong assets like Google Search and YouTube with competitive advantages. Berkshire’s latest move reflects a shift towards tech stocks, signaling a departure from traditional consumer brands that have underperformed. The transition could lead to better returns in the long run, potentially revitalizing Berkshire’s portfolio under new management.

Investors considering Berkshire Hathaway should note the company’s latest shift towards tech stocks and potential for greater returns under new leadership. The Motley Fool’s Stock Advisor team identified 10 top stocks for investors, excluding Berkshire Hathaway. This list has historically outperformed the S&P 500, offering high growth potential. Join Stock Advisor for access to the latest top stock recommendations and potential for significant returns.

Read more at Nasdaq: Why Berkshire Hathaway’s Stake in Alphabet Could Be Just the Start of Many More Tech Moves to Come