Buffett’s Berkshire Takes a Fresh Stake in Alphabet Amid Portfolio Shifts

Warren Buffett’s Berkshire Hathaway just disclosed a significant new investment in Alphabet, picking up a $4.3 billion position by the close of the third quarter. This move positions Alphabet as the conglomerate’s 10th largest stock holding, signaling confidence in one of America’s leading tech giants.
Berkshire’s entry into Alphabet comes at a time when the company’s stock has climbed 46% so far this year, fueled by surging demand for artificial intelligence tools that have supercharged its cloud computing operations. Investors see this as a nod to the enduring strength of U.S. innovation in technology, where companies like Alphabet continue to drive economic growth through cutting-edge advancements.
Back in 2018, Buffett openly shared his regret over missing out on Google early on. “I had seen the product work, and I knew the kind of margins [they had],” he said. “I didn’t know enough about technology to know whether this really was the one that would stop the competitive race.” He also noted that he “blew it” by not acting sooner, especially after witnessing Google’s advertising power through Berkshire’s Geico unit, which shelled out $10 per click on ads.
This Alphabet buy aligns with Berkshire’s selective forays into tech, managed likely by investment pros Todd Combs or Ted Weschler. They kicked off a stake in Amazon back in 2019, and Berkshire still holds $2.2 billion in that American e-commerce powerhouse. Buffett has long viewed Apple—another core holding—as more of a consumer staple than pure tech, which fits his classic value approach favoring durable U.S. businesses.
On the flip side, Berkshire pared back several positions during the quarter. It trimmed its Apple stake by 15%, bringing it down to $60.7 billion, though Apple remains the top equity asset after a series of sales earlier in the year. The firm also cut Bank of America by 6% to just under $30 billion, alongside reductions in Verisign and DaVita. Overall, Berkshire has sold more stocks than it bought for 12 quarters running, a cautious stance amid elevated market valuations in this tech-fueled rally.
With Buffett, now 95, set to step down as CEO by year’s end and hand the reins to Greg Abel, market watchers are eyeing how this shift might influence Berkshire’s strategy. Abel’s leadership could steer the firm toward even more opportunities in thriving American sectors like tech, bolstering the nation’s economic edge.
This portfolio update from Berkshire offers a window into smart investing in U.S. companies that lead global markets, reminding investors of the rewards in backing homegrown innovation even as broader economic pressures loom.
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