Berkshire Hathaway has signaled a major shift in its investment strategy, ending a fourteen quarter streak of net stock sales to become an aggressive buyer once again. According to recent regulatory filings, the conglomerate poured nearly twenty billion dollars into equities during the second quarter, most notably catapulting Alphabet into its top three largest holdings. The firm now owns approximately 106 million shares of the Google parent company, valued at thirty seven point nine billion dollars, trailing only Apple and American Express in total market value.
This surge in Alphabet ownership was driven largely by a ten billion dollar private stock purchase made in early June, aimed at helping the tech giant fund its expanding artificial intelligence infrastructure. While Greg Abel now serves as CEO, Chairman Warren Buffett noted that he had been particularly bullish on Alphabet throughout this process. This move suggests a renewed confidence in high growth technology sectors even as the broader market remains volatile.
Beyond big tech, Berkshire is doubling down on cyclical industries like travel and residential construction. The firm increased its stake in Delta Air Lines by forty four percent, bringing its valuation to about five point four billion dollars. This marks a significant return to the aviation sector for Buffett and Abel after they famously exited their airline positions during the onset of the global pandemic.
The appetite for real estate was equally evident as Berkshire boosted its holdings in homebuilder Lennar and established a new position in D R Horton. These moves coincided with the completed acquisition of Scottsdale based homebuilder Taylor Morrison. As these investments were deployed, Berkshire’s record cash pile dipped slightly from nearly four hundred billion dollars to about three hundred sixty five billion dollars, signaling that the conglomerate is finally ready to put its vast reserves back to work.