HomeMarket NewsWarren Buffett's 22-Quarter Stock Purchase Streak: Beyond Apple and Occidental

Warren Buffett’s 22-Quarter Stock Purchase Streak: Beyond Apple and Occidental

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As legends in the financial world go, Warren Buffett, Berkshire Hathaway’s illustrious CEO, stands high above the rest. Steering the ship since the mid-1960s, Buffett has orchestrated a staggering over 4,900,000% return for Berkshire’s Class A shares (BRK.A) and outperformed the S&P 500 by a commendable margin, doubling the annualized total return, dividends included.

The Unconventional Favorite Stock Among Titans

While many Wall Street wizards watch Berkshire Hathaway’s 13F filings like hawks to spot Buffett’s favorite stocks, there’s one unconventional gem that’s not on the radar. Surprisingly, it’s not the tech behemoth Apple nor the energy giant Occidental Petroleum that tickles the fancy of the Oracle of Omaha.

A delighted Warren Buffett at Berkshire Hathaway's annual meeting.

Berkshire Hathaway CEO Warren Buffett. Image source: The Motley Fool.

Looking Beyond the Obvious Choices

Though Apple, boasting a significant 42.5% of Berkshire’s $361 billion portfolio, and Occidental Petroleum, with Buffett purchasing over 248 million shares recently, are substantial holdings, it’s not these stocks that have received Buffett’s unwavering attention for 22 consecutive quarters.

A person drawing 'buy' on a stock chart dip.

Image source: Getty Images.

The Surprising Favorite: Berkshire Hathaway, Buffett’s Beloved

Peering beyond the 13Fs and examining the quarters, investors unearth Buffett’s soft spot: Berkshire Hathaway itself. The master investor’s relentless buybacks of Berkshire shares, starting in 2018, have been the highlight. Steering the ship with stalwart resolve, Buffett repurchased over $74 billion of his company’s stock, quarter after quarter, since the buyback criteria were adjusted.

These buybacks not only reward investors who share Buffett’s long-term vision but also have the potential to boost earnings per share (EPS) over time. With each share repurchase, the ownership stakes of loyal shareholders incrementally rise, while EPS stands to benefit from a shrinking outstanding share count.

Be it in economic booms or busts, Buffett’s proclivity for buying his favorite stock, Berkshire Hathaway, remains unwavering, a testament to his enduring faith in the company’s intrinsic value.

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Sean Williams holds no positions in the stocks mentioned. The Motley Fool holds and endorses Apple, Berkshire Hathaway, and Microsoft. Additionally, it recommends Occidental Petroleum and specific options involving Microsoft. The Motley Fool upholds a strict disclosure policy.

The expressed views are solely those of the author and do not necessarily align with Nasdaq, Inc.

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