In its latest 13F filing last week, Warren Buffett’s Berkshire Hathaway (NYSE:) disclosed that it is selling more shares than it is buying.
While the trend has raised a red flag for value investors out there, BRK’s latest quarterly results, set for release this Saturday, could still provide further insight into the legendary investor’s outlook for the stock market this year.
Analysts expect earnings per share (EPS) of $4.19, a 6.9% increase from last year, while revenue is projected to decline 3.2% year-over-year to $90.38 billion.
Source: InvestingPro
The numbers could significantly impact Berkshire Hathaway’s share price if they miss expectations. But other factors may have a broader market influence, too.
Millions of investors closely follow Warren Buffett’s market moves, trusting his decades-long track record of foresight. His new investments often drive stock rallies, while his exits can trigger declines.
Last Friday’s 13F filing revealed that Buffett added only one new stock in Q4 2024: Constellation Brands (NYSE:). He increased holdings in Domino’s Pizza (NYSE:) and Occidental Petroleum (NYSE:) while trimming positions in Bank of America (NYSE:) and Citigroup (NYSE:).
Yesterday, the behemoth investment firm also revealed that it had sold another 750,000 shares of DaVita (NYSE:), cutting its ownership in the kidney dialysis service provider by roughly 2%.
Warren Buffett’s Cash Reserves Likely Grew In Q4
While Buffett has kept some stocks, he has sold more than he has bought, likely increasing Berkshire’s cash reserves in Q4 2024.
A key figure to watch in the upcoming earnings is Berkshire’s cash holdings. If they keep rising, it may mean Buffett is struggling to find good investment opportunities.
The report may also reveal recent portfolio changes and offer Buffett’s view on the economy and stock market.
Easiest Way to Follow Buffett’s Portfolio
Investors looking to follow Warren Buffett’s strategy can turn to the AI-powered Best of Buffett strategy.
Each quarter, on the first trading day of the month that follows 13F filings, ProPicks AI selects the top 15 stocks from Buffett’s portfolio for the months ahead.
The results speak for themselves:
Source: InvestingPro
Since Warren Buffett’s last 13F filing was last Friday, the strategy will be re-evaluated in early March. InvestingPro subscribers will receive a clear list of stocks to buy and sell.
The “Best of Buffett” strategy is one of over 30 thematic and regional strategies, all updated monthly.
Disclaimer: This article is written for informational purposes only; it does not constitute a solicitation, offer, advice, counsel or recommendation to invest as such it is not intended to incentivize the purchase of assets in any way. I would like to remind you that any type of asset, is evaluated from multiple perspectives and is highly risky and therefore, any investment decision and the associated risk remains with the investor.