Berkshire Hathaway Shifts into Tech Sector with Major Alphabet Investment

Berkshire Hathaway's holdings have undergone significant changes in the second quarter under its new CEO, Greg Abel. One of the most notable moves was adding to the company's position in Alphabet, which has become one of its top three holdings.

The company bought approximately $17 billion worth of Alphabet stock during Q2, bringing its total position in the tech giant to 106 million shares. At a value of $36 billion, it now ranks third behind Apple and American Express in Berkshire's portfolio.

This move is significant because Berkshire has traditionally shied away from the tech sector, but Alphabet's strong earnings and competitive advantage make it an attractive addition to the company's holdings. Additionally, its market cap exceeds $4 trillion, making it one of the most valuable companies in the world.

Berkshire also increased its position in Delta Air Lines by buying 17.5 million shares during Q2, bringing its total to 57 million. This move is notable because Berkshire had previously exited its position in major airlines, including Delta, back in 2020 under Warren Buffett's leadership.

The company continued to reduce its position in Bank of America, selling more than 30 million shares and decreasing its stake by about 6%. While this move may be a sign that Berkshire is reducing exposure to financial stocks, Bank of America remains one of the company's largest holdings, accounting for nearly 9% of its portfolio.