Lead
Berkshire Hathaway has purchased $4.3 billion worth of Google (Alphabet) shares while further cutting its Apple position by 15% in the third quarter. The activity marks the 12th consecutive quarter in which the conglomerate sold more stocks than it bought, signaling a continued portfolio reset as Warren Buffett approaches retirement.
Key Developments
- New stake: $4.3B in Alphabet (Google) shares
- Portfolio shift: 15% reduction in Apple holdings in Q3
- Ongoing trend: 12 straight quarters of net stock selling
Portfolio Moves
Berkshire’s latest portfolio reshuffle highlights a notable pivot: increasing exposure to Alphabet while paring back its long-standing position in Apple. The 15% reduction in Apple during Q3 follows a pattern of gradual trimming, while the $4.3 billion allocation to Alphabet underscores renewed confidence in large-cap technology names beyond Apple.
The firm’s status as a net seller for 12 consecutive quarters suggests a disciplined emphasis on capital recycling and valuation sensitivity. This sustained selling trend contrasts with the substantial buying seen during earlier market dislocations, indicating a more selective approach in the current environment.
Market Context
Berkshire has historically concentrated its portfolio in a handful of high-conviction positions. The move toward Alphabet adds another mega-cap tech pillar alongside Apple, though the latest quarter shows a clear rebalancing away from Apple’s outsized weight.
While Berkshire’s transactions often reflect long-term, fundamentals-driven views, the timing—as Warren Buffett nears retirement—adds an extra layer of interest for markets watching succession-era positioning and risk management.
What It Means
- A more diversified mega-cap tech exposure could lower single-name concentration risk
- Continued net selling may reflect valuation discipline and cautious market stance
- The Apple trim and Alphabet buy point to evolving conviction within top-tier tech holdings
Conclusion
Berkshire Hathaway’s third-quarter activity—buying $4.3 billion in Alphabet shares and cutting Apple by 15%—extends a multi-quarter trend of net stock selling and underscores a nuanced shift within its tech exposure. Investors will be watching future filings for clarity on whether this marks a broader strategic realignment as the Buffett era approaches its transition.