Berkshire Hathaway reshapes its portfolio with bold stock moves in Q1
Berkshire Hathaway made major changes to its investment portfolio in the first quarter of the year. The firm slashed its stake in Chevron by 35%, selling off over $8 billion worth of shares. At the same time, it expanded positions in other companies, including a significant increase in Alphabet’s Class A stock.
Berkshire reduced its Chevron holding from 129.9 million shares to 84.3 million, offloading 45.7 million shares. Despite the sale, the energy giant remains one of Berkshire’s largest holdings, particularly as oil prices stay elevated due to ongoing disruptions. Brent crude has climbed above $102 per barrel, driven by conflicts in the Middle East affecting shipping through the Strait of Hormuz.
Chevron’s financial strength was evident in the first quarter, with $6 billion returned to shareholders through dividends and buybacks. The company’s break-even oil price sits near the mid-$50 range, well below current market levels. Its dividend yield of 3.81% also outperforms the broader S&P 500 average. Wall Street analysts maintain a 'Moderate Buy' rating on Chevron, with a mean price target of $214.12, suggesting a 9% upside potential. Beyond Chevron, Berkshire reshaped its portfolio under Greg Abel, Warren Buffett’s successor. The firm exited 16 positions entirely, including stakes in UnitedHealth Group, Visa, Mastercard, Domino’s Pizza, and Amazon. Meanwhile, it more than tripled its investment in Alphabet’s Class A shares and added new holdings in Macy’s and Delta Air Lines.
The reduction in Chevron shares comes as oil markets remain volatile, with prices supported by geopolitical tensions. Berkshire’s remaining stake in the company could still play a key role if supply disruptions persist into 2027. The firm’s broader portfolio adjustments reflect a shift in strategy under new leadership.
