Berkshire Hathaway Deploys Net $20 Billion in Equities Under Abel, Lifting Alphabet to Third-Largest Holding
Berkshire Hathaway under Greg Abel spent a net $20 billion on equities in Q2, materially increasing Alphabet and Delta holdings while trimming financial names. The filing documents a shift toward larger technology exposure and homebuilding assets financed from record cash reserves. Primary records confirm both the scale of deployment and the resulting cash reduction.
The 13F filing shows Berkshire added 48.1 million Alphabet shares for $21.1 billion, reaching $37.8 billion and becoming the third-largest position. It also increased Delta Air Lines by 17.5 million shares worth $2.7 billion and took a new $6.8 billion stake in homebuilder Taylor Morrison. Offsetting sales included 30.2 million Bank of America shares and the full exit from Constellation Brands.
These moves mark a departure from Warren Buffett’s restrained approach. Abel executed back-to-back multibillion-dollar deals, including a $10 billion direct purchase from Alphabet’s ATM program to fund AI infrastructure. The Taylor Morrison acquisition reflects a classic value orientation in housing, while the Alphabet commitment signals willingness to back technology platforms previously avoided.
Cash deployment at this scale tests the sustainability of Berkshire’s fortress balance sheet. Further equity purchases or acquisitions remain likely if valuations permit, though sustained market highs could slow the pace and preserve higher cash levels into 2025.
Greg Abel: Berkshire will disclose at least one new acquisition above $5 billion in the Q3 13F or 10-Q if cash falls below $300 billion by September 30.
Sources (2)
- [1]Primary Source(https://www.sec.gov/Archives/edgar/data/1067983/000095017024087123/0000950170-24-087123-index.htm)
- [2]Supporting Source(https://www.berkshirehathaway.com/2024q2/13f0624.pdf)