Berkshire Hathaway Q2 repositioning and allotment of shares

Whether you are an investor in U.S. stocks or not, you are familiar with the name of Warren Buffett. The entire investment career of this most determined value investor is full of "miracles" and full of controversy. Although it has reached the twilight, every move is still affecting the nerves of this Wall Street. Over the years, Wall Street investors have always greeted this old stock god on certain days, "Lian is very old, can you still eat?"

Recently, following the announcement of Berkshire Hathaway's (NYSE:BRKa) 13F document, the holdings of the "Omaha Prophet" have caused "surroundings" among market participants. In general, Buffett and his investment team's investment portfolio in the second quarter did not change much, but it should be noted that Berkshire has a large amount of cash capital, and 13F announced only a small part of their assets. Let’s take a look. Look:

Berkshire Hathaway's overall position changes

Overall, the report shows that Berkshire's investment portfolio value is as high as 293.023 billion U.S. dollars, an increase of approximately 8.4% from the total market value in the first quarter. Earlier media reports stated that, according to Berkshire’s financial report data, the company’s cash holdings have risen for 15 consecutive quarters.

Mainly invest in 44 companies, but the use of funds is very concentrated. The top 5 holdings account for more than 76% of the total investment portfolio, including Apple, Bank of America, American Express, Coca-Cola and Kraft Heinz. Among them, the company maintained Apple's holdings unchanged in the second quarter, with a total market value of US$121 billion, and holdings accounted for 41.45%, making it the largest position. However, among Berkshire's top ten holdings, USB was reduced by 798,000 shares, and its holdings fell to 129 million shares, with a market value of $7.342 billion, ranking it eighth.

In terms of sectors, Berkshire Hathaway’s holdings in the second quarter still accounted for the largest share of information technology, accounting for nearly 42%, followed by finance accounting for nearly 32%, consumer staples accounting for nearly 13%, and utilities. And communications accounted for more than 3%, medical health also accounted for more than 3%, and non-essential consumer goods accounted for more than 2%.

Berkshire Hathaway Q2 holdings

The top four stocks that Berkshire increased in the second quarter were: Kroger, RH Common Stock, Organon & Co, and Aon Insurance. The details are as follows:

Increased its holdings of the supermarket chain Kroger Co (SA: K1RC34) by 10.7 million shares, increasing the number of shares held by 21% month-on-month, with a market value of US$2.37 billion, accounting for 8.3% of the company's total outstanding shares;

Increased its holdings of 35,519 shares of household goods retailer RH (NYSE:RH), the number of shares increased by 2% from the previous month, and the market value was US$1.22 billion, accounting for 8.5% of the company's total outstanding shares;

Increased its holdings of 299,854 shares of insurance group Aon Insurance (NYSE:AON), which increased by 7.3% from the previous month, and its market value was US$1.05 billion, accounting for 1.9% of the company’s total outstanding shares.

Berkshire Hathaway Q2 holdings reduction situation

According to the latest 13F documents, the total market value of Berkshire's stocks cleared in the second quarter was nearly 680 million U.S. dollars, including: paint company Axalta Coating Systems Ltd. (NYSE:AXTA) cleared 13.9 million shares, with a market value of 410.8 million U.S. dollars.

In addition, the company has also reduced its holdings of some stocks, mainly including Bank of America, General Motors, Chevron, AbbVie, Bristol-Myers Squibb, Merck, Marsh McLennan and Liberty Global-C, etc.:

Reduced its holdings of 9.58 million shares of the pharmaceutical giant Merck (BS: MRKd), the number of shares held decreased by 51% compared with the first quarter, and the market value was US$712 million, accounting for 0.36% of the total outstanding shares;

Reduced its holdings of General Motors (NYSE: GM) by 7 million shares, a 10% decrease from the previous month, and its market value was US$3.55 billion, accounting for 4.1% of the total outstanding shares;

Reduced 4.74 million shares of the pharmaceutical giant Bristol-Myers Squibb Company (NYSE: BMY), the shareholding decreased by 15% from the previous month, and the market value was US$1.76 billion, accounting for 1.2% of the total outstanding shares;

Reduced its holdings of 2.34 million shares of the biopharmaceutical company AbbVie (NYSE: ABBV), which reduced its shareholding by 10% from the previous month, and its market value was US$2.31 billion, accounting for 1.2% of the total outstanding shares;

Reduced holdings of 5.46 million shares of telecommunications company Liberty Global (NASDAQ:LBTYA), a 74% decrease in shareholding from the previous month, and a market value of US$50.7 million;

Reduced its holdings of 548,352 shares of Chevron Corporation (NYSE: CVX), a decrease of 2.3% from the previous quarter, and its market value was US$2.42 billion, accounting for 1.2% of the total outstanding shares.

In addition, it also reduced its holdings in insurance and risk management companies Vistar Group (NYSE: MMC) and U.S. Bancorp (NYSE: USB).

Although in the short term, Berkshire Hathaway’s overall position will not change much, and cash holdings may continue to maintain a high level, but as the US economy continues to recover in the post-epidemic era, Berkshire Al Hathaway’s performance is gradually picking up, and the company’s position allocation is still worth paying close attention to investors in the next period of time.