Berkshire Sells Mastercard Stake, Triples Alphabet to $17B, Buys $2.6B Delta
Under CEO Greg Abel, Berkshire Hathaway sold its Mastercard stake alongside positions in Visa, Amazon, Domino’s Pizza and UnitedHealthcare as part of a portfolio reshuffle. It redirected capital to tripling its Alphabet stake to 58 million shares (~$17 billion), acquired $2.6 billion of Delta stock and a $55 million Macy’s holding.
1. Management Transition and Strategy
Greg Abel officially took over as CEO earlier this year and immediately signaled a shift in investment preferences, showing greater willingness to increase tech and travel exposure compared with Warren Buffett’s historically conservative approach.
2. Divestiture of Mastercard and Other Holdings
In the first quarter, the firm exited its Mastercard position along with stakes in Visa, Amazon, Domino’s Pizza and UnitedHealthcare, reallocating resources away from these established holdings.
3. Increased Tech and Travel Investments
Capital was redeployed to acquire nearly 58 million Alphabet shares valued at about $17 billion, a $2.6 billion Delta Airlines position and a modest $55 million stake in Macy’s by the end of March.
4. Market Reaction
Shares of Delta and Macy’s spiked following regulatory filings that revealed the new stakes, while Alphabet’s price remained largely unchanged despite the significant increase in ownership.