Warren Buffett (Berkshire Hathaway) Stock Portfolio – Update 2014 Q4

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Warren Buffett’s Berkshire Hathaway stock holdings for Q4 2014 was filed on 2/17/2015.  The fourth quarter was another with quite a bit of activity.  Two new holdings, including QSR and FOXA..  There were additions made to CHTR, DVA, DE, DTV, GM, IBM, LBTYA, MA, PSX, PCP, SU, VIAB, and V.  Reductions were made again to BK and NOV.  The stake in COP, ESRX, XOM, and LBRDA/K were eliminated.  The filing is for the quarter ended of 12/31/2014:

 

Berkshire’s New Stock Holdings:

– Berkshire initiated a new stake in Restaurant Brands International Inc [QSR] and purchased 8,438,225 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $329.43 million ($329,428,000).  QSR is the parent company of Tim Hortons and Burger King.

 

– Berkshire initiated a stake in Twenty-First Century Fox Inc [FOXA] and purchased 4,747,397 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $182.32 million ($182,324,000).

 

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Berkshire’s Stock Additions:

– Berkshire increased its stake in Charter Communications Inc [CHTR] for the second quarter in a row, adding 1,248,141 shares (25.21%) up from 4,950,096 shares, bringing its total to 6,198,237 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $1.03 billion ($1,032,751,000).
– During Q3 2014, Berkshire increased its stake by 2,641,083 shares (114.38%) bringing it’s total to 4,950,096 shares.  On 9/30/2014, its stake was approximately $749.3 million ($749,296,000).
– During Q2 2014, CHTR was a new holding. On 6/30/2014, the total of Berkshire’s holding had a market value of approximately $365.7 million ($365,701,000).

 

– Berkshire increased its stake in DaVita Inc [DVA] by 944,418 shares (2.51%) up from 37,621,152 shares, bringing its total to 38,565,570 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $2.92 billion ($2,920,956,000). This has been the ninth time in the last ten quarters that it had purchased shares of DVA.
– During Q1 2014, Berkshire increased its stake in DVA by 1,159,858 shares (3.18%) bringing its total to 37,621,152 shares. On 3/31/2014, its holding was worth $2.59 billion ($2,590,216,000).
– During Q4 2013 Berkshire added 1,314,170 shares (3.74%) increasing it’s stake from 35,147,124 shares (since the SEC filing on 11/8/2013), bringing its total to 36,461,294 shares. On 12/31/2013, its market value was $2.31 billion ($2,310,552,000). 
– During Q3 2013 Berkshire doubled its holding in DaVita by 16,472,924 shares (110.01%) bringing its total to 31,446,830 shares. On 9/30/2013, Berkshire’s holding was $1.79 billion ($1,789,325,000). However, an SEC filing on 11/8/2013 showed Berkshire bought more DaVita and added 3,700,294 shares (11.7%) between 11/6/2013 – 11/8/2013, up from 31,446,830 shares to a total of 35,147,124 shares.
– During Q1 2013, its holding was increased for the 6th consecutive quarter since its initial purchase and added 1,365,971 shares (10.04%) bringing the total to 14,973,906 shares.
– DaVita has been one of the more interesting holdings as it had continued to add after the first quarter According to the SEC Filing, between 7/2/2013 – 7/3/2013 it had added in multiple transactions 639,200 shares at prices ranging from $113.42 to $114.41, bringing its total to 15,613,106 shares as of 7/26/2013.
– On 5/7/2013 Berkshire signed a Standstill Agreement not to propose a merger (to increase its stake to 25%) without consent from DaVita board, if Berkshire owns more than 15%. Berkshire owned 14% of the healthcare company at the time. The agreement was a bit unusual for Berkshire, which makes one consider the possibility of a takeover. As I’ve mentioned before, DaVita was a long time favorite of Ted Weschler prior to joining Berkshire. Weschler was instrumental in helping Buffett more recently acquire the newspapers, and was the one who signed the DaVita agreement.
– During Q4 2012 Berkshire increased its stake in DaVita significantly by 3,410,366 shares (33.44%), bringing the total to 13,607,935. Berkshire added shares multiple times between the end of Q4 2012 and the end of Q1 2013
– In Q3 2012 Berkshire added 897,569 shares (9.65%), bringing the total to 10,197,569.
– In Q2 2012 the company purchased 3,300,000 shares (55%), bringing its total to 9,300,000 shares.
– In Q1 2012 Berkshire more than doubled its stake by adding 3,315,500 shares (124%), from its original 2,684,500 to a total of 6,000,000 shares.
– DaVita Inc, was a new holding in Q4 2011.

 

– Berkshire increased its stake in Deere & Company (John Deere) [DE] by 9,529,489 shares (125.93%) up from 7,567,397 shares, bringing its total to 17,096,886 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $1.51 billion ($1,512,562,000).
– This is interesting because Berkshire’s stake in John Deere was eliminated during Q3 2014.  However, an amended 13F-HR/A filing on 2/17/2015 for the period 9/30/2014, revealed that Berkshire re-initiated a new stake with 7,567,397 shares worth $620 million ($620,451,000) at the end of the third quarter. 
– It’s possible that the previously smaller stake of 3,978,767 shares worth $360,277,000 at the end of Q2 2014 (6/30/2014) was Weschler’s or Combs’ holding, while the new and much larger stake was Buffett’s.
– During Q3 2012, an initial stake was made in the maker of agricultural and construction equipment & parts.  A total of 3,978,767 shares of Deere & Company was worth approximately $328 million ($328,129,000) as of 9/30/2012.

 

– Berkshire increased its stake in in DIRECTV [DTV] by 1,353,468 shares (4.51%) up from 30,000,000 shares, bringing its total to 31,353,468 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $2.72 billion ($2,718,346,000).
– During Q1 2014, Berkshire decreased its stake by 6,532,005 shares (27.83%), bringing its total to 30,000,000 shares, with a market value of approximately $2.6 billion ($2,595,600,000).
– During Q2 2014, Berkshire decreased its stake by -11,046,705 shares (-32.01%), bringing its total to 23,467,995 shares, with a market value of approximately $2.0 billion ($1,995,014,000).
– During Q1 2014, Berkshire decreased its stake in DIRECTV by -2,000,000 shares (-5.48%), bringing its total to 34,514,700 shares, with a market value of approximately $2.64 billion ($2,637,614,000).
– During Q3 2013, Berkshire reduced its holding by -760,700 shares (-2.04%), bringing its total to 36,514,700 shares, with a market value of approximately $2.18 billion ($2,182,848,000).
– During Q1 2013, its holdings of DIRECTV was increased for the sixth consecutive quarter, 3,237,900 shares (9.51%), bringing its total to 37,275,400 shares worth $2.1 billion ($2,109,415,000).
 Q4 2012 4,481,900 shares were added (15.16%) up from 29,555,600 shares.
– In the third quarter (Q3 2012) 1,134,900 shares were added (3.99%) up from 28,420,700 shares to 29,555,600 shares.
– In Q2 2012 5,421,100 shares were added (23.6%) up from 22,999,600 shares to 28,420,700 shares.
– In the first quarter (Q1 2012), Berkshire added 2,651,200 shares (13%) from 20,348,400 shares, bringing its Q1 2012 total to 22,999,600 shares. During Q4 2011 Berkshire quadrupled its stake by adding 16,099,000 shares (378.85%) up from its original 4,249,400 shares, with a Q4 2011 total of 20,348,400 shares.
– DTV was a new holding in Q3 2011.

 

– Berkshire increased its stake in General Motors [GM] by 1,000,000 shares (2.5%) up from 40,000,000 shares, bringing its total to 41,000,000 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $1.43 billion ($1,431,311,000).
– During Q3 2014, Berkshire increased its stake by 7,039,944 shares (21.36%), bringing its total to 40,000,000 shares. Its holding had a market value of approximately $1.28 billion ($1,277,600,000).
– During Q2 2014, Berkshire increased its stake by 2,960,056 shares (9.87%), bringing its total to 32,960,056 shares, worth $1.2 billion ($1,196,451,000).
– During Q1 2014, Berkshire decreased its stake in General Motors by -10,000,000 shares (-25.%), bringing its total to 30,000,000 shares, with a market value of approximately $1.03 billion ($1,032,600,000).
– During Q2 2013, Berkshire added 15,000,000 shares (60%), bringing its total to 40,000,000 shares, worth $1.33 billion ($1,332,400,000).
– During Q4 2012 Berkshire increased its stake in the Detroit based global automotive manufacturer, adding 10,000,000 shares (66.67%), bringing its total to 25,000,000 shares, worth $720 million ($720,750,000).
– During Q3 2012 Berkshire added 5,000,000 shares (50%), bringing its total to 15,000,000 shares. On 9/30/2012, the total value of Berkshire’s holding in GM was approximately $341 million ($341,250,000). The initial stake was purchased during the first quarter (Q1 2012).

 

– Berkshire increased its stake in International Business Machines [IBM] by 6,493,805 shares (9.21%) up from 70,478,012 shares, bringing its total to 76,971,817 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $12.35 billion ($12,349,358,000).
– During Q3 2014, by 304,034 shares (0.43%) up from 70,173,978 shares, bringing its total to 70,478,012 shares.  On 9/30/2014, the total of Berkshire’s holding had a market value of approximately $13.38 billion ($13,378,840,000).
– During Q2 2014, Berkshire increased its stake by 1,818,894 shares (2.66%) up from 68,355,084 shares, bringing its total to 70,173,978 shares. On 6/30/2014, the total of Berkshire’s holding had a market value of approximately $12.72 billion ($12,720,437,000).
– During Q1 2014, Berkshire increased its stake in IBM by 233,100 shares (.34%) up from 68,121,984 shares, bringing its total to 68,355,084 shares. On 3/31/2014, the total of Berkshire’s holding had a market value of approximately $13.16 billion ($13,157,670,000).
– Last year during Q1 2013, Buffett increased Berkshire’s holdings of International Business Machines for the sixth consecutive quarter, adding 6,500 shares (0.01%) up from 68,115,484 shares, bringing its total to 68,121,984 shares. On 3/31/2013, the total value of Berkshire’s holdings in IBM was approximately $14.5 billion ($14,530,420,000).
– During the previous quarter Q4 2012 597,588 shares were added (0.88%) up from 67,517,896 shares, bringing its total to 68,115,484 shares.
– In Q3 2012, Buffett added 872,500 shares (1.3%) up from 66,645,396 shares to 67,517,896 shares.
– In Q2 2012, Buffett added shares for the third consecutive quarter with 2,237,596 more shares (3.5%) up from 64,395,700 shares.
– During Q1 2012, Berkshire added 489,769 shares (1%), from 63,905,931 shares, bringing its total to 64,395,700 shares.
– Buffett increased Berkshire’s holdings of IBM in Q4 2011, to an approximate 5.5% ownership of the company, approximately $12 billion ($11,751,023,000) stake by 12/31/2011.

 

– Berkshire increased its stake in Liberty Global PLC [LBTYA] (Class A shares) by 415,317 shares (3.99%) up from 10,401,007 shares, bringing its total to 10,816,324 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $543.03 million ($543,034,000).
– During Q3 2014, Berkshire increased its stake by 534,461 shares (5.42%), bringing its total to 10,401,007 shares.  On 9/30/2014, the total of Berkshire’s holding of the international cable company had a market value of approximately $442.46 million ($442,459,000).
– On 9/30/2014, the total of Berkshire’s holding in Liberty Global PLC (Class A and C combined) had a market value of approximately $743.8 million ($743,795,000).
– During Q2 2014,  Berkshire increased its stake in the Class A shares by 2,519,578 shares (34.29%) up from 7,346,968 shares, bringing its total to 9,866,546 shares. On 6/30/2014, the total of Berkshire’s holding had a market value of approximately $436.3 million ($436,299,000).
– During Q1 2014, Berkshire increased its stake in the Class A Shares by 4,398,683 shares (149.19%) up from 2,948,285 shares, bringing its total to 7,346,968 shares. On 3/31/2014, the total of Berkshire’s holding had a market value of approximately $305.63 million ($305,634,000).
– During Q1 2014, Berkshire had also received a new stake in  Liberty Global PLC (Class C Shares) [LBTYK], with 7,346,967 shares. On 3/31/2014, the total of Berkshire’s holding had a market value of approximately $299.1 million ($299,095,000).  In January 2014, Liberty Global distributed one Class C share per every Class A share held [http://www.libertyglobal.com/ir-dividend-2014-q-a.html]. Berkshire increased it’s existing stake in the Class A shares to a total of 7,346,967 shares during the quarter, and therefore received an equal amount of Class C shares (as mentioned above).
– Liberty Global PLC, was a new holding in Q4 2013. An initial stake of 2,948,284 shares was purchased.  On 12/31/2013, the total of Berkshire’s holding had a market value of approximately $262.4 million ($262,397,000).

 

– Berkshire increased its stake in Mastercard Inc [MA] by 684,356 shares (14.51%) up from 4,715,400 shares, bringing its total to 5,399,756 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $465.24 million ($465,243,000).
– During Q3 2014, Berkshire increased its stake by 665,400 shares (16.43%), bringing its total to 4,715,400 shares, worth $348.56 million ($348,562,000).
– During Q1 2014, Berkshire’s number of shares increased to 3,645,000 shares from 405,000 shares, due to the 10:1 stock split in late January 2014. It’s total number of shares was 4,050,000 shares. On 3/31/2014, the total of Berkshire’s holding had a market value of approximately $302.54 million ($302,535,000).

 

– Berkshire increased its stake in Phillips 66 [PSX] by 365,200 shares (5.89%) up from 6,202,400 shares, bringing its total to 6,567,600 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $470.9 million ($470,897,000).
– During Q3 2014, Berkshire decreased its stake by -293,400 shares (-4.52%), bringing its total to 6,202,400 shares, worth $504.32 million ($504,317,000).
– During Q2 2014,  Berkshire decreased its holdings by -3,245,503 shares (-33.32%), bringing its total to 6,495,800 shares, worth approximately $522.46 million ($522,457,000).

 

– Berkshire increased its stake  in Precision Castparts Corp. (PCP) [PCP by 771,466 shares (37.05%) up from 2,082,222 shares, bringing its total to 2,853,688 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $687.4 million ($687,396,000).
– During Q3 2014, Berkshire increased its stake by 205,600 shares (10.96%), bringing its total to 2,082,222 shares, worth $493.24 million ($493,237,000).
– During Q2 2014, Berkshire decreased its stake by -100,714 shares (-5.09%), bringing its total to 1,876,622 shares worth $473.66 million ($473,659,000).

 

– Berkshire increased its stake in Suncor Energy [SU] by 3,876,564 shares (20.98%) up from 18,477,730 shares, bringing its total to 22,354,294 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $710.42 million ($710,420,000).
– During Q3 2014, Berkshire increased its stake by 2,019,400 shares (12.27%), bringing its total to 18,477,730 shares, worth $667.97 million ($667,970,000).
– During Q2 2014, Berkshire increased its holdings by 3,458,330 shares (26.6%), bringing its total to 16,458,330 shares, with a market value of approximately $701.62 million ($701,619,000).

 

– Berkshire increased its stake in Viacom Inc [VIAB] by 925,990 shares (12.01%) up from 7,708,200 shares, bringing its total to 8,634,190 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $649.72 million ($649,723,000).
– During Q3 2014, Berkshire increased its stake by 101,000 shares (1.33%), bringing its total to 7,708,200 shares, with a market value of approximately $593.07 million ($593,069,000).

 

– Berkshire increased its stake in Visa Inc [V] by 363,000 shares (16.91%) up from 2,146,290 shares, bringing its total to 2,509,290 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $657.94 million ($657,936,000).
– During Q3 2014, Berkshire increased its stake by 346,541 shares (19.25%), bringing its total to 2,146,290 shares, worth $457.95 million ($457,954,000).
– During Q2 2014, Berkshire increased its holdings by 244,290 shares (15.71%), bringing its total to 1,799,749 shares, with a market value of approximately $379.23 million ($379,225,000).

 

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Berkshire’s Stock Reductions:

– Berkshire again decreased its stake in Bank of New York Mellon Corp. [BK] by -1,365,000 shares (-5.84%) down from 23,377,603 shares, bringing its total to 22,012,603 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $893.05 million ($893,050,000).
– During Q3 2014, Berkshire decreased its stake by -1,275,233 shares (-5.17%) down from 24,652,836 shares, bringing its total to 23,377,603 shares.  On 9/30/2014, the total of Berkshire’s holding had a market value of approximately $905.41 million ($905,413,000).

 

– Berkshire decreased its stake in National Oilwell Varco, Inc. [NOV] by -1,123,975 shares (-17.61%) down from 6,382,360 shares, bringing its total to 5,258,385 shares.  On 12/31/2014, the total of Berkshire’s holding had a market value of approximately $344.58 million ($344,582,000).
– During Q3 2014, Berkshire decreased its by -919,918 shares (-12.6%), bringing its total to 6,382,360 shares, worth $485.7 million ($485,698,000).
– During Q2 2014, Berkshire’s decreased its stake by -1,577,722 shares (-17.77%) down from 8,880,000 shares, bringing its total to 7,302,278 shares. On 6/30/2014, the total of Berkshire’s holding had a market value of approximately $601.34 million ($601,342,000).

 

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Berkshire’s Stock Sell Offs:

– – Berkshire eliminated its stake in ConocoPhillips [COP], selling all 471,994 shares.  In Q3 2014, Berkshire’s stake was worth $36 million ($36,117,000) as of 9/30/2014 .
– During Q3 2014, Berkshire decreased its stake by -883,234 shares (-65.17%), bringing its total to 471,994 shares.  Berkshire had been steadily reducing its stake in COP.

 

– Berkshire eliminated its stake in Express Scripts Holding Co [ESRX], selling all 449,489 shares.  ESRX was actually a new holding in Q3 2014, and Berkshire’s stake had a market value of approximately $31.7 million ($31,747,000) on 9/30/2014.

 

– Berkshire eliminated its stake in Exxon Mobil Corp [XOM], selling all 41,129,643 shares.  In Q3 2014, Berkshire’s stake was worth $3.8 billion ($3,868,243,000) as of 9/30/2014.  This was an interesting and unique change, as Berkshire’s holding in Exxon was very large, but was entirely eliminated within a single quarter!

 

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Other Updates:

– Berkshire eliminated its stake in Liberty Broadband Corp [LBRDA/LBRDK].  Berkshire received Class A and K shares as part of the Liberty Media Corp [LMCA] spin off at the end of 2014.   In the spin-off, record holders of Series A, Series B and Series C common stock received one-fourth of a share of the corresponding series of Liberty Broadband common stock for every whole share of Liberty Media’s common stock held by them as of the distribution date for the spin-off, with cash in lieu of fractional shares.

 

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Buffett, Combs, Weschler:

– During the second quarter of 2012 Buffett announced that Weschler and Combs would oversee about $4 billion each, nearly double the amount Buffett previously said at the company’s 2012 annual meeting (May 5 2012). Buffett though, is still responsible for the larger investments (SU, IBM, WFC) and likely the older holdings (IR, GE, JNJ, PG, USB, UPS, VRSK).
– Stake increases in DaVita were likely Ted Weshcler’s, as he previous held it prior to joining Berkshire. This is one of the more interesting holdings as Berkshire continued to add to DVA continuously ever since it became a holding.
– DIRECTV and Visa were already in the Berkshire portfolio before Weschler, and it is likely Todd Combs had made those stock moves. Some were also previous investments held by Combs as well.
– The size of BK, GM, PCP, WBC, NOV, and VIAB stakes suggest they are either Combs or Weschler’s picks.
– It has been revealed that Weschler was also responsible for putting together the newspaper deals.  Weschler also holds a large stake in LMCA.

– As I mentioned in previous summaries, it is likely that the long time holdings of JNJ, KRFT/MDLZ, PG, SNY were not bad investments and does not mean Buffett doesn’t like the businesses anymore (had mentioned in Q2 2012 that he thinks they are strong businesses), but perhaps that they have already appreciated significantly over the years, and likely selling them to provide capital to Combs & Weschler as well has to himself in order to allocate towards better opportunities.

 

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SEC Filing:

You can view the 2/17/2015 SEC filing which discloses Berkshire Hathaway stock holdings here:
http://www.sec.gov/Archives/edgar/data/1067983/000095012315002961/xslForm13F_X01/form13fInfoTable.xml

The 13HF 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 [BRK.A /BRK.B], DVA, LBRDA, LBTYA, and LMCA, and may acquire or sell shares mentioned in this post without notice.

 

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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 & letters. The following is list of those few books (I’ve read all but two of these and learned to invest like Buffett):

 DREAM BIG – Cristiane Correa

 Business Adventures – John Brooks

 The Snowball: Warren Buffett and the Business of Life – Alice Schroeder

 Poor Charlie’s Almanack – Peter D Kaufman

 The Intelligent Investor – Benjamin Graham

– Tap Dancing To Work: Warren Buffett on Practically Everything, 1966-2013 – Carol J Loomis

 

Thanks and Happy Investing! – The Investment Blogger © 2015

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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