29.7% of Berkshire Hathaway's $356 Billion Portfolio Is Invested in 2 Artificial Intelligence Stocks
Berkshire has piled into one particular AI stock this year.
Overview
Warren Buffett acquired a controlling stake in a struggling textiles manufacturer called Berkshire Hathaway (NYSE: BRKA)(NYSE: BRKB) in 1965, and after realizing its core business wasn't viable, he converted it into a holding company for his various investments. By the time he stepped away from his role as chief executive in 2025, Berkshire was worth over $1 trillion, with numerous wholly owned subsidiaries, a $350 billion stock portfolio, and almost $400 billion in cash.
The stock returned 19.7% annually during Buffett's 60-year tenure, meaning an investment of just $500 in 1965 would have grown to $24 million by the end of 2025. The conglomerate's new CEO, Greg Abel, worked with Buffett for two decades before taking over, so he's likely to maintain a similar strategy to his predecessor. That means focusing on companies with steady growth, reliable earnings, and experienced management.
Details
Abel hit the ground running and has already quadrupled Berkshire's stake in one technology company operating at the forefront of the artificial intelligence (AI) revolution. A different AI giant is also Berkshire's largest holding, and together, these two stocks account for almost 30% of the conglomerate's entire portfolio. Read on.
Source
Originally published at www.fool.com.