Warren Buffet added 3 new stocks including recently acquired Activision


Stock

Sector

Shares Held of Principal Amount

NU

INFORMATION TECHNOLOGY

107,118,784

ATVI

INFORMATION TECHNOLOGY

14,658,121

FWONK

COMMUNICATIONS

2,118,746

Source: Whale Wisdom

Legendary investor and the Oracle of Omaha, Warren Buffett is set to cash out big time from a new investment in video game maker Activision Blizzard. The investment was made through Berkshire Hathaway during the quarter before Microsoft’s announcement to buy the company.

Berkshire Hathaway (BRKB) bought roughly 14.7 million shares of Activision (ATVI) in the fourth quarter of 2021, according to a late Monday filing with the Securities and Exchange Commission. At the time, the stake was worth about $975 million, with an average price of $66.53 a share.

Following Microsoft's $69 billion deal announced last month, Activision now trades at about $81.50 a share. This means Berkshire's stake is worth more than $1.2 billion, a sharp 22.5% gain. If the Microsoft deal is approved, Berkshire could make more than its current stake.

Berkshire Hathaway also secured a $1 billion position in NU Holdings during the fourth quarter. NU Holdings is a digital finance platform that offers financial services such as credit, debit cards, savings, and other personal finance services. Its operations are mostly in Brazil, Mexico, and Colombia.

The Buffett-owned investment company established a new position in Liberty Media Formula One (FWONK) Series C, worth roughly $134 million. The investment was side-by-side a boost in Liberty Sirius XM Series by about 36%. Both stocks are linked to John Malone's Liberty Media empire, and they include stakes in SiriusXM, Live Nation Entertainment, and Formula One.

Buffett and Berkshire are known for making daring and successful investments, as well as, having a good eye to spot companies with prospects. They have an excellent track record in selecting investments. Berkshire has a known strategic approach with its investments, holding the majority of its portfolio in a few companies. The company maintained its top holdings during the fourth quarter, with only four companies accounting for more than 70 percent of its total portfolio value. Here are its top holdings:

1.     Apple (AAPL) - $157.5 billion

2.     Bank of America (BAC) - $44.9 billion

3.     American Express (AXP) - $24.8 billion

4.     Coca Cola (KO) - $23.7 billion

In the first three quarters of 2021, Buffett invested more than $20 billion to repurchase Berkshire stock, with $7.6 billion in the third quarter. Many believe that Buffett believes that the shares are undervalued and continuing shareholders will enjoy the benefits of the buybacks.

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