Warren Buffett Allocates 32% of $291 Billion Portfolio to Four Key AI Stocks

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Berkshire Hathaway’s AI Investments Under Warren Buffett

Berkshire Hathaway (NYSE: BRK.A, BRK.B), led by Warren Buffett since 1965, oversees a $291 billion portfolio, including a record cash reserve of $347 billion. Under his leadership, a $1,000 investment in Berkshire in 1965 would have grown to $44.7 million by the end of 2024, compared to $342,906 in the S&P 500.

Despite Buffett’s preference for long-term investment strategies over current stock trends, four companies within Berkshire’s portfolio, accounting for 32.4% ($94.3 billion), are leveraging artificial intelligence (AI) to enhance their operations. These companies include: Apple (21.3% of the portfolio), Coca-Cola (9.9%), Amazon (0.8%), and Domino’s Pizza (0.4%).

Key Holdings Utilizing AI

1. **Domino’s Pizza**: Serving over 1 million customers daily from 21,300 stores, Domino’s enhances delivery efficiency with AI algorithms analyzing customer behavior.

2. **Amazon**: Known in e-commerce and cloud computing, Amazon employs AI for product comparison and quality assurance in its fulfillment centers.

3. **Coca-Cola**: Appointed a head of generative AI in 2023, Coca-Cola plans to invest $1.1 billion in AI innovations that enhance marketing and production by 2029.

4. **Apple**: With a significant investment in machine learning, Apple integrated AI features into its devices while maintaining user experience as a priority.

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