Warren Buffett’s Berkshire Hathaway made notable investments in Ulta Beauty and aircraft parts maker Heico during the second quarter, as the conglomerate significantly reduced its stake in Apple.
As of June 30, Berkshire held approximately 690,000 shares in Ulta Beauty, valued at $266.3 million, and 1.04 million shares in Heico, worth $185.4 million, according to a regulatory filing. Both stocks experienced gains in after-hours trading, with Ulta Beauty’s shares rising 14% and Heico’s up 3%, reflecting the market’s positive reaction to Berkshire’s endorsement.
While the filing did not specify whether Warren Buffett personally made these investments, it is likely managed by Berkshire’s portfolio managers Todd Combs and Ted Weschler, who handle the company’s smaller investments.
Heico Co-President Eric Mendelson expressed gratitude for Berkshire’s investment, noting the alignment of their decentralized business models. Heico’s shares have increased by 32% this year, underscoring its strong performance.
Berkshire Hathaway, known for its significant holdings in companies like Geico, BNSF Railway, and Apple, also has substantial investments in consumer and retail sectors, including brands like Benjamin Moore, Dairy Queen, and Duracell. Its portfolio also includes a $2.5 billion stake in grocery chain Kroger.
In a notable shift, Berkshire sold $77.2 billion in stocks during the quarter, including offloading about 390 million Apple shares and a nearly $1 billion investment in Snowflake. This move reduced its exposure to media company Paramount Global and increased its cash reserves to $276.9 billion, up from $189 billion in March.
Berkshire also reduced its stakes in Capital One, Floor & Decor Holdings, Louisiana-Pacific, and T-Mobile, while increasing its investments in Chubb and Sirius XM. Despite the reductions, Buffett indicated that Apple would remain a significant part of Berkshire’s portfolio by the end of the year.
Buffett, who turns 94 on August 30, has led Berkshire Hathaway since 1965, steering the company through various market shifts and investment strategies.
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