Warren Buffett (Berkshire Hathaway) Stock Portfolio – Update 2012 Q1



Warren Buffett’s Berkshire Hathaway stock holdings for Q1 2012 was filed on 5/15/2012. There was a lot of activity during the quarter of the 2012, with new stakes in General Motors, Viacom, Lee Enterprises (6/5/2012 amendment), and increases to Bank of New York Mellon, DaVita Inc, DIRECTIV, IBM, Liberty Media Corp, Walmart, and Wells Fargo. Holdings of Intel, Dollar General, Proctor & Gamble, Verisk Analytics, and US Bancorp were reduced. Kraft was reduced again this quarter, while the stake Comdisco Holding Co was eliminated. Warren Buffet’s Berkshire Hathaway [BRK.A /BRK.B] stock updates for the first quarter of 2012 (End of 3/31/2012):

 

Berkshire’s New Stock Holdings:

General Motors Company [GM]

– A new stake was initiated in the Detroit based global automotive giant.
– A total of 10,000,000 shares of GM were purchased in the first quarter of 2012, and was worth approximately $256 million ($256,500,000) as of 3/31/2012.

 

Viacom Inc [VIAB]

– A new stake was initiated in the entertainment company. Viacom operates in the media networks and film segments and is best known for their Paramount Pictures, MTV, BET, and Nickelodeon brands.
– A total of 1,591,670 shares of Viacom were purchased during the quarter, and was worth approximately $75.5 million ($75,541,000) as of 3/31/2012.

 

[UPDATE] Lee Enterprises, Incorporated [LEE]

– A new stake was initiated in the newspaper company. Lee provides local news, information, and advertising to midsized American markets via daily and weekly newspapers, and specialty publications in over 23 states. Lee is also the owner of Pulitzer Inc.
– A total of 1,655,125 shares of Lee Enterprises were purchased during the quarter, and was worth approximately $2.1 million ($2,119,000) as of 3/31/2012.
– The 3% stake in the newspaper company was disclosed in an SEC filing on June 5 2012, as an amendment to the 5/15/2012 filing.

 

Berkshire’s Stock Additions

Bank of New York Mellon Corp. [BK]

– Berkshire increased its stake in the bank by adding 3,813,551 shares (213%) from 1,793,915 shares, bringing its total to 5,607,466 shares.  On 3/31/2012, the total value of Berkshire’s holdings in Bank of New York Mellon was approximately $135 million ($135,308,000).  The bank was a new holding in Q3 2010.

 

DaVita Inc [DVA]

– Berkshire more than doubled its stake in the  dialysis services company by 3,315,500 shares (124%), bringing it up from 2,684,500 shares to a total of 6,000,000 shares.  On 3/31/2011, the company’s stake in DaVita had a market value of approximately $541 million ($541,020,000).  DaVita Inc, was a new holding in the previous quarter (Q4 2011).

 

DIRECTV [DTV]

– Berkshire again increased its holdings of DIRECTV.  During the quarter the company added 2,651,200 shares (13%) from 20,348,400 shares, bringing its total to 22,999,600 shares.  On 3/31/2012, the total value of Berkshire’s holdings in the digital television provider was approximately $1.13 billion ($1,134,800,000).
– During the previous quarter (Q4 2011) Berkshire quadrupled its stake adding 16,099,000 shares (378.85%) up from 4,249,400 shares, with a Q4 2011 total of 20,348,400 shares.  DTV was a new holding in Q3 2011.

 

International Business Machines [IBM]

– The company increased its holdings of International Business Machines Corporation again during the first quarter of 2012, and added 489,769 shares (1%), from 63,905,931 shares, bringing its total to 64,395,700 shares. The total value of its holdings in IBM at the end of 3/31/2012 was approximately $13.4 billion ($13,436,163,000).
– Buffett increased Berkshire’s holdings of IBM during the previous quarter (Q4 2011), to an approximate 5.5% ownership of the company.  At the end of 12/31/2011, its stake in IBM was worth approximately $12 billion ($11,751,023,000).

 

Liberty Media Corp [LMCA]

– Berkshire increased its stake in Liberty Media Corporation by 1,298,600 shares (76%), bringing it up from 1,701,400 shares to a total of 3,000,000 shares.  On 3/31/2012, the company’s stake in the media, communications, and entertainment company had a market value of approximately $264 million ($264,450,000).  Liberty Media was a new holding in the previous quarter (Q4 2011).

 

Wal-Mart Stores Inc [WMT]

– Berkshire increased its stake in Wal-Mart by 7,671,000 shares (20%), bringing it up from 39,037,142 shares to a total of 46,708,142 shares.  On 3/31/2012, the company’s stake in the discount retailer had a market value of approximately $2.8 billion ($2,858,538,000).
– The stake increase was made prior to The New York Times report on allegations that Wal-Mart executives used bribes related to its Mexican expansion.  Buffett had told Berkshire shareholders earlier in the month that the scandal didn’t change his view on the retailer’s value or earnings power.

 

Wells Fargo & Co. [WFC]

– Berkshire increased its holdings in the bank for the fourth consecutive quarter.  During the first quarter 10,631,300 shares (3%) were purchased, bringing the total number of shares from 383,703,628  shares to 394,334,928 shares.  Berkshire’s stake in Wells Fargo had a market value of approximately $13.4 billion ($13,462,596,000).
– In Q4 2011 Berkshire increased its holdings in WFC by 22,333,820 shares (6.18%).
– Buffett had previously added to his favorite bank during the third quarter of 2011 (9,042,200 shares, 2.56%), the second quarter of 2011 (9,703,683 shares, 2.83%), the fourth quarter of 2010 (6,215,080 shares, 1.8%), as well as during the 3rd quarter of 2010, and 3 out of 4 quarters in 2009.

 

 

Berkshire’s Stock Reductions:

Intel Corp. [INTC]

– Berkshire reduced its holding in the semiconductor chip maker, Intel Corp, by 3,750,000 shares (-33%), decreasing it from 11,495,000 shares to a total of 7,745,000 shares.  On 3/31/2012, the company’s stake was worth approximately $217 million ($217,751,000).
– However, during the previous quarter (Q4 2011) Berkshire added to its holding.   Intel was a new holding in the third quarter of 2011(Q3 2011).

 

Dollar General Corp. [DG]

– Berkshire made a reduction in its holdings of the discount retailer.  860,083 shares (-19%) were sold, bringing its position lower from 4,497,247 shares to a total of 3,637,164 shares.  On 3/31/2012 the company’s stake in Dollar General had a market value of approximately $168 million ($168,037,000).
– Dollar General was a new stake in Q2 2011.

 

Kraft Foods Inc. [KFT]

– Berkshire trimmed its holdings in Kraft for the 4th consecutive quarter.  Its stake was reduced by 9,017,548 shares (-10%), down from 87,034,713 shares, bringing the total to 78,017,165 shares.  On 3/31/2012, the company’s holdings in the food manufacturing giant was worth approximately $2.96 billion ($2,965,432,000).
– Last quarter Q4 2011 its stake was reduced by 2,711,995 shares (-3.02%).
– During Q3 2011, its stake in KFT was reduced by 9,720,916 shares (-9.77%).
– During Q2 2011, Berkshire had reduced its holdings by 5,746,960 shares (-5.46%).

 

Procter & Gamble Company [PG]

– Berkshire reduced its holdings in P&G by 3,511,900 shares (-5%), down from 76,766,036 shares, bringing the total to 73,254,136 shares.  On 3/31/2012, the company’s holdings in the consumer products giant was worth approximately $4.9 billion ($4,923,411,000).

 

Verisk Analytics [VRSK]:

– Berkshire decreased its holdings in Verisk Analytics by 1,214,881 (-35%) down from 3,445,029 shares, bringing its total to 2,230,148 shares.  On 3/31/2012, the market value of the holding was approximately $104 million ($104,750,000).

 

U.S. Bancorp  [USB]

– Berkshire reduced its holdings in USB by 100 shares (-0.0001%), down from 69,039,426 shares, bringing the total to 69,039,326 shares.  On 3/31/2012, the company’s holdings in the American bank was worth approximately $2.1 billion ($2,187,165,000).

 

 

Berkshire’s Stock Sell Offs:

Comdisco Holding Co [CDCO]

– Berkshire sold off its stake in holding company’s 1,538,377 shares.  At the end of the previous quarter, its shares were worth approximately $9 million ($9,075,000).

 

 

Buffett, Combs, Weschler:

– Stake increases and positions in DaVita and Liberty Media were likely Ted Weshcler’s, as he previous held the two holdings prior to joining Berkshire.  Although DIRECTV was also held by Weschler, it was already in the Berkshire portfolio and it was implied last quarter (Q3 2011) that Todd Combs had made that purchase.  Increases to the holding are also likely Combs, as are the decreases to Intel and Dollar General (previous investments made by Combs).
– In Q3 2011 Buffett told CNBC that investments in the $200 million area are very likely to be Combs or Weschler, because he personally looks at larger investments.  Though at the company’s annual meeting on May 5 2012, Buffett said that Combs and Weschler each oversee $2.75 billion total.
– Buffett also declared (in Q3) that he was responsible for the acquisition of IBM shares and the additions to Wells Fargo.  It is likely that he is responsible for the additions this quarter.  The size of the Wal-Mart, Kraft and P&G holdings suggest he was also responsible for those moves as well.  The size of the GM and Viacom stakes suggest either Combs or Weschler’s picks.

 

SEC Filing:

You can view the 5/15/2012 SEC filing which discloses Berkshire Hathaway stock holdings here:
http://www.sec.gov/Archives/edgar/data/1067983/000119312512234582/d352241d13fhr.txt

The filing does not differentiate between investments that are made by Berkshire Hathaway, its subsidiaries, Todd Combs, Ted Weschler, or Warren Buffett himself (as the chairman and chief executive of the company).  Buffett usually makes his stock investments for Berkshire Hathaway through his insurance arms (Berkshire Hathaway Life Insurance Co. of Nebraska, Columbia insurance Co, GEICO, National Indemnity Co, Wesco Financial, etc.).

 

Full Disclosure:

I am long Berkshire Hathaway, Wells Fargo, U.S. Bancorp, Intel, and Kraft.  I do not plan on acquiring or selling shares, of any of the companies mentioned within this post, within the next 3 trading days.

Recommended Warren Buffett Related Books:

Although its easy to follow and copy Warren Buffett’s stock moves (buys/sells), we only learn of his actions months after it has been done (SEC filing is always later). We would never know for sure why the move was made or what other reasons were behind it.

Buffett recommends investors who want to learn how he invests, to read books that he specifically endorses and recommends, as well as past Berkshire Hathaway annual reports. The following is list of those few books (I’ve have read these myself and learned to invest like Buffett):

Thanks and Happy Investing! – The Investment Blogger © 2012

Author: The Investment Blogger

I’m a private investor, who developed the “function-centric investing” paradigm. I am an investor who blogs a little here and there, rather than a blogger who invests a little here and there. I'm passionate about investing and sharing investment knowledge!

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