What stock did Buffett just buy?
Bought: SiriusXM Holdings Inc.
Buffett has been in and out of SiriusXM in the past, buying back in 2016 and selling out five years later only to buy back in the third and fourth quarters of 2023.
The stock he keeps buying
Throughout 2023, Buffett consistently added more shares to one of Berkshire's top holdings, Occidental Petroleum (OXY 0.10%). Berkshire Hathaway established its position in the company when it put up $10 billion in capital to facilitate Occidental's acquisition of Anadarko.
Warren Buffett made his fortune by investing in individual companies with great long-term advantages. But his top recommendation for anyone is to buy a simple index fund. Buffett's recommendation underscores the importance of diversification.
The current portfolio value is calculated to be $347.36 Bil. The turnover rate is 1%. In Warren Buffett's current portfolio as of 2023-12-31, the top 5 holdings are Apple Inc (AAPL), Bank of America Corp (BAC), American Express Co (AXP), Coca-Cola Co (KO), Chevron Corp (CVX), not including call and put options.
Berkshire Hathaway's decision to invest in SiriusXM is likely strongly influenced by the aggressive stance of arbitrage traders targeting Liberty's acquisition of SiriusXM. This suggests a potentially advantageous position for those on the short side of the trade.
The financial health and growth prospects of BRK. B, demonstrate its potential to underperform the market. It currently has a Growth Score of C. Recent price changes and earnings estimate revisions indicate this would not be a good stock for momentum investors with a Momentum Score of D.
The driving force behind the decision to buy Paramount Global was likely the fact that the company has exposure to both traditional distribution and streaming services. Streaming is clearly valuable, but recent upsets have proven that traditional television may not be dead yet.
- Coinbase.
- Nvidia.
- DraftKings DKNG.
- Meta Platforms META.
- Palantir Technologies PLTR.
The top five positions in the portfolio are Apple, Bank of America, American Express, Coca Cola, and Chevron. Berkshire Hathaway repurchased 3 million Class B Equivalent Shares in Q3 2023 for a total outlay of $1.09 billion.
- Big ideas.
- Rule 1 - Don't lose money.
- Rule 2 - Don't forget rule 1.
- Rule 3 - Always have a margin of safety.
- Rule 4 - Find companies with good financials.
- Rule 5 - Find companies with good earnings.
- Rule 6 - Look for consistently high return on equity.
Why are billionaires selling stock?
Moguls cash in on record-high market
Just ask JPMorgan's Jamie Dimon, Meta's Mark Zuckerberg, or Amazon's Jeff Bezos — all of whom have been selling a lot of stock of late. Why it matters: It makes sense even for billionaires to diversify out of having the overwhelming majority of their wealth in a single stock.
- Bonds and bond ETFs.
- Dividend-paying stocks and ETFs.
- Master limited partnerships.
- Real estate investment trusts.
- Annuities.
"The Gates portfolio has significant investments in artificial intelligence, tech, as well as crucial sectors like transportation and waste management, which are closely tied to the economy, as well as holdings in companies like Berkshire Hathaway, providing exposure to insurance and energy sectors."
- Warren Buffett's Berkshire Hathaway (BRK.A) commands the No. 1 position, with an impressive stock price of over half a million dollars.
- Swiss chocolatier Lindt & Sprüngli (LISN) holds steady at No. 2 with its six-figure stock price of CHF 123,433.
Bank of America has a conensus rating of Moderate Buy which is based on 11 buy ratings, 7 hold ratings and 1 sell ratings. The average price target for Bank of America is $37.36. This is based on 19 Wall Streets Analysts 12-month price targets, issued in the past 3 months.
Based on analyst ratings, Sirius XM Holdings Inc's 12-month average price target is $4.89. Currently there's no upside potential for SIRI, based on the analysts' average price target. Sirius XM Holdings Inc has a conensus rating of Hold which is based on 2 buy ratings, 2 hold ratings and 4 sell ratings.
SiriusXM Full-Year Revenue Reaches $6.9 Billion
This growth was driven by an $0.87 increase in average revenue per user (ARPU), up 6% year-over-year, resulting in a record ARPU of $15.63.
Sirius XM Holdings annual gross profit for 2023 was $4.744B, a 2.65% decline from 2022. Sirius XM Holdings annual gross profit for 2022 was $4.873B, a 3.07% increase from 2021. Sirius XM Holdings annual gross profit for 2021 was $4.728B, a 5.99% increase from 2020.
- Apple Inc. (AAPL) Berkshire's Stake. ...
- Bank of America Corp. (BAC) ...
- American Express Co. (AXP) ...
- Coca-Cola Co (KO) Berkshire's Stake. ...
- Chevron Corp (CVX) Berkshire's Stake. ...
- Occidental Petroleum Corporation (OXY) Berkshire's Stake. ...
- Kraft Heinz Co. (KHC) ...
- Moody's Corporation (MCO) Berkshire's Stake.
Berkshire CEO Warren Buffett has suggested that investors favor the B shares when the A-share premium is above 1% and opt for the Class A stock if the two classes are at parity, as was the case at the start of 2023. Berkshire Hathaway, like many other companies, has two classes of stock outstanding.
Is BRK B better than S&P 500?
The current volatility for Berkshire Hathaway Inc. (BRK-B) is 3.10%, while SPDR S&P 500 ETF (SPY) has a volatility of 3.93%. This indicates that BRK-B experiences smaller price fluctuations and is considered to be less risky than SPY based on this measure.
And yet, Warren Buffett currently owns almost 94 million shares of PARA stock worth $1.32 billion.
| Symbol | Stake | |
|---|---|---|
| Nu Holdings Ltd | NU | 2.3% |
| NVR Inc | NVR | 0.3% |
| Occidental Petroleum Corp | OXY | 28.3% |
| Paramount Global Class B | PARA | 10.4% |
Tata Motors share price has doubled in 2023, making it the only stock in the Nifty 50 index to achieve this feat this year. Tata Motors share price has doubled in 2023, making it the only stock in the Nifty 50 index to achieve this feat this year.
