Warren Buffett's Berkshire Hathaway Buys Six New Stocks Amidst Net Selling

Warren Buffett's Berkshire Hathaway has bought six new stocks, including UnitedHealth Group, Nucor, Lennar, D.R. Horton, Lamar Advertising, and Allegion. The purchases amount to about $4 billion, significantly less than the proceeds from the sales of Apple, Bank of America, and T-Mobile shares. The exact reason for the purchases is unknown, but these stocks appear to be undervalued given the current market conditions.

Warren Buffett's Berkshire Hathaway has added six new stocks to its portfolio during the second quarter of 2025, including UnitedHealth Group, Nucor, Lennar, D.R. Horton, Lamar Advertising, and Allegion. The purchases amount to approximately $4 billion, significantly less than the proceeds from the sales of Apple, Bank of America, and T-Mobile shares [1]. The exact reasons for these acquisitions are unknown, but these stocks appear to be undervalued given the current market conditions.

UnitedHealth Group, the largest health insurer in the United States, saw its stock rise by 8.2% in after-hours trading following the disclosure of Berkshire Hathaway's new stake in the company [2]. The insurer has faced challenges such as rising medical costs, regulatory turmoil, and public backlash against rising healthcare costs, but Berkshire's investment indicates confidence in the company's future prospects.

Nucor, the steel manufacturer, saw Berkshire Hathaway acquire a new stake of 6.61 million shares valued at $856.8 million [2]. This investment is part of Berkshire's ongoing strategy to diversify its portfolio and invest in sectors that offer long-term growth potential.

The homebuilders Lennar and D.R. Horton also received new investments from Berkshire. Lennar received a stake worth nearly $800 million, while D.R. Horton received a stake worth $191.5 million [3]. Despite the challenges in the homebuilding industry, including high mortgage rates and a slow market, these investments suggest that Berkshire sees value in these financially sound companies, trading at price-to-earnings (P/E) multiples of 10.8 and 12.4, respectively.

Lamar Advertising and Allegion, a manufacturer of security products, were also added to Berkshire's portfolio. The specific details of these investments were not disclosed, but they contribute to the overall strategy of diversifying Berkshire's holdings.

These new investments come as Berkshire Hathaway prepares for a leadership transition. Warren Buffett, who will turn 95 this month, is stepping down as CEO at the end of the year, with Greg Abel taking over. Buffett will remain as chairman of the board [2].

References:
[1] https://finance.yahoo.com/news/warren-buffett-just-bought-6-140646786.html
[2] https://www.ainvest.com/news/berkshire-hathaway-takes-stakes-unitedhealth-nucor-sells-apple-shares-2508/
[3] https://northeast.newschannelnebraska.com/story/53007935/nucor-has-a-big-new-investor