Warren Buffett’s investment strategy is known for its consistency and adaptability. Despite sticking to his core principles, he has invested in newer sectors, including the Magnificent Seven – Apple, Alphabet (Google), Amazon, Microsoft, Facebook (now Meta), Intel, and Coca-Cola. Berkshire Hathaway’s massive portfolio holds nearly 24% of these stocks.
Berkshire has a significant stake in Apple, its largest position, with 21.3% invested. Buffett first got interested in Apple after his friend lost their iPhone. Although the company’s AI strategy raises concerns, Apple is likely to benefit from integrating AI features into its consumer products. Berkshire has sold 74% of its stake since early 2023, but still sees value in the stock.
Google (Alphabet) accounts for 1.8% of Berkshire’s portfolio. Despite a bumpy year and allegations of monopolistic practices, Alphabet seems to have emerged stronger. The company’s innovative approaches to AI, such as Google overviews and AI mode, help it stay ahead. With a valuation of about 30 times forward earnings, many experts believe the stock is undervalued.
Amazon accounts for only 0.7% of Berkshire’s portfolio but remains an attractive investment due to its two strong businesses: e-commerce and cloud services (AWS). Amazon has already seen significant growth potential in AWS before the AI era began. While the company trades at a higher valuation than some, its solid growth prospects make it an appealing choice.
Buffett’s willingness to invest in newer sectors demonstrates his adaptability as an investor. His confidence in these companies’ long-term prospects is evident, despite concerns about market trends and industry changes.
Source: https://www.fool.com/investing/2025/11/29/warren-buffett-portfolio-invest-ai-stock-goog