Feb 142019

After the market closed on February 14, Berkshire Hathaway released its SEC-13F filing for the quarter ending December 31, 2018.

The largest changes were as follows:

New positions:

(1) Red Hat ($700 million)  (Note: Likely merger arbitrage – IBM to acquire Red Hat in late 2019 at $190 per share in cash.)

(2) Suncor Energy ($300 million)  (Note: Berkshire had a position during the third quarter of 2016.)

(3) StoneCo  ($300 million)  (Note: Previously reported in October, 2018, purchase by Todd Combs.)


Additions to existing positions:

(1) JP Morgan Chase ($1.5 billion = 40% increase)  (Note: Likely purchase by Warren Buffett, Todd Combs is on Board of Directors.)

(2) General Motors ($600 million = 38% increase)  (Note: Likely purchase by Ted Weschler.)

(3) Travelers ($300 million = 68% increase)

(4) PNC Financial ($250 million = 36% increase)


Position eliminated:

(1) Oracle ($2 billion)


Positions reduced:

(1) Apple ($600 million = 1% decrease)

(2) Phillips 66 ($350 million = 23% decrease)

(Note: Berkshire reduced its stake in Apple by about 1%.  According to Reuters, “One of the managers (Todd Combs or Ted Weschler) other than Warren Buffett had a position in Apple and sold part of it in order to make an unrelated purchase,” Buffett’s assistant Debbie Bosanek said in an email. “None of the shares under Warren’s direction have ever been sold.”)



 Posted by at 5:24 pm
Feb 132019

Berkshire Hathaway Vice Chairman Charlie Munger (age 95) will be interviewed on CNBC on Friday, February 15 at 7:00 a.m.   On February 14, he will be answering shareholder questions at the Daily Journal annual meeting in Los Angeles.  Also, on February 14, Berkshire Hathaway will be releasing its SEC 13F filing after the close of the market at 4:00 p.m. Eastern Time which will reveal Berkshire’s investment portfolio as of December 31, 2018.

 Posted by at 7:44 am
Feb 102019

After the market closes on Thursday, February 14, Berkshire Hathaway will release its SEC 13F filing for the fourth quarter of 2018.  Since the S&P 500 (total return) declined by 13.5% during the fourth quarter, it is very likely that Warren Buffett invested a substantial portion of Berkshire’s cash position of over $100 billion.  In addition, portfolio managers Todd Combs and Ted Weschler may have made changes to their investments.  During the third quarter, Berkshire invested about $14 billion, primarily in financial stocks, with its largest addition being $6 billion in Bank of America as well as an initial stake of $4 billion in JP Morgan Chase.

Since Berkshire’s largest stock holding, Apple, declined by about 40% during the fourth quarter, did Warren Buffett view this as a buying opportunity and add to this investment?  Apple represented 25% ($56 billion) of Berkshire’s portfolio as of September 30, 2018.

 Posted by at 9:22 am