45 Stocks of Warren Buffett : Can make you Master of Investments!

Discover the secrets to investment mastery with Warren Buffett’s meticulously curated portfolio of 45 stocks. Delve into the strategies behind the Oracle of Omaha’s selections and unlock the keys to financial success in the world of investments.

• Uncover the secrets behind Buffett’s investment philosophy, emphasizing value, growth, and sustained competitive advantages.
• Gain insights into the rationale behind Buffett’s strategic holdings, including his focus on strong brand recognition and enduring market positions.
• Discover lesser-known gems within Buffett’s portfolio, offering opportunities for long-term growth and wealth accumulation.
• Learn how to navigate market uncertainties with confidence, leveraging Buffett’s proven track record and timeless investment principles.

According to Berkshire’s latest 13F disclosure, Buffett and his team managed a portfolio of approximately $371 billion across 45 stocks as of the beginning of 2024. Notably, this count excludes Berkshire Hathaway’s ownership of two index funds—the Vanguard S&P 500 ETF and SPDR S&P 500 ETF Trust—given that these are baskets of securities rather than individual stocks.

Let’s delve into a comprehensive breakdown of Buffett’s investment holdings for Berkshire Hathaway as of the start of 2024.

Warren Buffett’s Key Holdings

A defining feature of Berkshire Hathaway’s investment strategy is its significant focus on a select few core investments. Both Buffett and the esteemed Charlie Munger have long advocated that diversification is unnecessary if you have a deep understanding of your investments. With Berkshire’s stock boasting nearly a 20% annualized return over almost six decades, it’s evident that the Oracle of Omaha possesses formidable investment acumen.

As of the market close on February 16, 2024, the following eight core holdings represented over 84% of Berkshire’s $370.6 billion in invested assets:

• Apple (NASDAQ: AAPL): $167,564,822,400 in market value
• Bank of America: $35,209,924,885
• American Express (NYSE: AXP): $32,226,370,392
• Coca-Cola (NYSE: KO): $23,756,000,000
• Chevron (NYSE: CVX): $18,989,654,896
• Occidental Petroleum (NYSE: OXY): $15,010,057,107
• Kraft Heinz: $11,335,348,015
• Moody’s: $9,146,566,891

A recurring theme among Warren Buffett’s core investments is their robust brand recognition. For instance, tech giant Apple, comprising over 45% of Berkshire’s invested assets, consistently ranks as the most valuable brand in surveys and dominates the U.S. smartphone market.

Similarly, Coca-Cola has retained its position as the most chosen brand by consumers for a decade, according to Kantar’s annual “Brand Footprint” report (as of 2022). Established brands with enduring competitive advantages often yield steady operating results—a quality Buffett highly values.”

Many of these core holdings have stood the test of time, with Coca-Cola, American Express, and Moody’s remaining steadfast in Berkshire’s portfolio since 1988, 1991, and 2000, respectively. Buffett and his investment team recognize the long-term growth trajectory of both the U.S. and global economies, strategically positioning their portfolio to capitalize on this expansion.

Companies like American Express are poised to benefit from increased fee collection and interest income from lending, as well as higher fee revenue from merchants, as transactional volume grows over time.

Interestingly, Warren Buffett’s investment strategy also includes a focus on energy stocks. While energy hasn’t traditionally been a primary focus for Warren Buffett or his team, investments in Chevron and Occidental Petroleum total approximately $34 billion. This indicates a strong belief among Berkshire’s top minds that crude oil prices will remain elevated.

While Chevron’s diversified operations mitigate its sensitivity to crude oil spot-price fluctuations, Occidental’s revenue stream is heavily dependent on drilling activities. A sustained increase in crude oil prices would notably benefit the latter.

Other Stocks of Buffett:

Beyond the primary eight core investments, Berkshire Hathaway’s diverse portfolio includes an additional 20 holdings each valued at over $1 billion (as of February 16):

• Mitsubishi: $7,271,277,217
• Itochu: $5,222,432,191
• Mitsui: $5,215,608,560
• DaVita: $4,411,600,565
• Citigroup (NYSE: C): $3,030,177,115
• VeriSign: $2,489,304,669
• Kroger: $2,382,000,000
• Sumitomo: $2,372,187,302
• Visa (NYSE: V): $2,311,340,458
• Marubeni: $2,266,233,990
• BYD: $2,134,256,139
• Mastercard (NYSE: MA): $1,866,269,528
• Capital One Financial: $1,711,399,447
• Amazon: $1,695,000,000
• Liberty Sirius XM Series C: $1,455,469,155
• Snowflake: $1,410,735,347
• Aon: $1,276,084,000
• Charter Communications: $1,121,879,713
• Nu Holdings: $1,109,750,602
• Ally Financial: $1,043,420,000

This secondary tier of holdings, with the potential to evolve into core positions for Warren Buffett and his team, shares a common theme of valuation. Known for his insistence on securing favorable deals, Buffett’s investment choices in this group largely reflect his commitment to value investing principles.

For instance, the five Japanese trading houses Berkshire Hathaway has been accumulating—Mitsubishi, Itochu, Mitsui, Sumitomo, and Marubeni—trade at single-digit price-to-earnings multiples. When a business maintains its competitive edge, trades at such multiples, and offers an attractive dividend yield, it naturally catches Warren Buffett’s attention.

Additionally, Berkshire’s investment strategy emphasizes financial stocks, evident in substantial investments in industry leaders like Visa, Mastercard, and Citigroup. Buffett favors financial stocks due to their cyclical nature, meaning they closely track the fluctuations of the U.S. economy.

For example, Visa and Mastercard dominate the credit card network purchase volume in the United States, ranking first and second, respectively. Citigroup stands as one of the largest banks in terms of total assets. If the U.S. economy continues its upward trajectory, Visa and Mastercard should see increased fee collection from merchants, while Citigroup can expect growth in interest income.

Warren Buffett’s Minor Holdings

Lastly, Warren Buffett’s approximately $371 billion portfolio includes 17 holdings ranging in market value from as low as $8.6 million to as much as $840.9 million:

• T-Mobile: $840,869,220
• Paramount Global (NASDAQ: PARA): $823,192,383
• Liberty Sirius XM Series A: $717,186,367
• HP (NYSE: HPQ): $653,130,595
• Liberty Formula One Series C: $534,239,160
• Floor & Décor Holdings: $530,293,200
• Louisiana-Pacific: $482,858,063
• Liberty Live Series C: $418,362,732
• Sirius XM Holdings (NASDAQ: SIRI): $191,959,387
• Liberty Live Series A: $181,414,375
• NVR: $181,414,375
• Lennar Class B: $82,124,903
• Diageo: $33,456,475
• Jefferies Financial Group: $17,827,905
• Liberty Latin America Series A: $17,494,767
• Atlanta Braves Holdings Series C: $8,979,347
• Liberty Latin America Series C: $8,628,614

This segment of Berkshire’s portfolio is typically reserved for smaller investments made by Buffett’s top deputies, Todd Combs and Ted Weschler, as well as companies that may be losing favor.

For instance, Warren Buffett and his team significantly reduced their stakes in HP and Paramount Global during the fourth quarter. HP’s recovery in personal-computing sales is slower than expected, while Paramount Global faces challenges due to heavy debt and intensified competition in streaming and advertising.

When Berkshire’s top investors decide to divest from a holding, they do so decisively. It wouldn’t be surprising if HP and/or Paramount Global are no longer part of Berkshire’s holdings soon.

However, these minor holdings in Berkshire’s portfolio can still hold value. Sirius XM Holdings, for example, stands out as a legal monopoly with strong pricing power among its subscribers. With over three-quarters of its revenue coming from subscriptions, it is better equipped to weather economic downturns compared to traditional radio operators reliant on advertising revenue.