Abel Overhauls Berkshire Portfolio in First Quarter

Greg Abel, the new CEO of Berkshire Hathaway, has made significant changes to the company's investment portfolio in his first quarter on the job. He eliminated 15 complete holdings, including Visa, Mastercard, and Amazon, which had delivered solid returns but no longer fit his strategy.

The exited positions included several dividend-paying stocks, such as Diageo and Domino's Pizza, which offered yields of up to 4%. In contrast, Abel's new targets are Alphabet (0.2% yield) and Delta Air Lines (1% yield), indicating a shift away from focusing on dividend income.

Berkshire Hathaway's cash reserves expanded during the quarter, rising from $373.3 billion to $397.4 billion. Market observers speculate that this buildup could signal preparation for a major acquisition or simply be a prudent response to high stock valuations.