In this piece, we will take a look at Bill Gates’ latest 2024 update for his firm’s stock portfolio.

Bill Gates is one of the most consequential people in the modern-day world. His software company, known for selling the Windows operating system, is among the most valuable firms in the world courtesy of its $3.30 trillion market capitalization. This firm has made Gates one of the richest people in the world, with his net worth estimated to sit at $108 billion according to the latest estimates.

The software billionaire retired from his firm in 2014, but he hasn’t stopped making an impact post-retirement. Rather than fade quietly into the distance, Gates refocused his efforts on causes and initiatives he is passionate about. Climate change, human health, and technology remain his key interests, and Gates targets these areas directly through his family office and indirectly through the Bill and Melinda Gates Foundation.

While it’s the Foundation that’s often at the center of media attention when it comes to Gates’ investments, the billionaire also invests through his family office Cascade Investment, LLC and Gates Frontier, LLC. Starting from Cascade Investment, the firm has had a moderately busy 2024. It started the year by disclosing a sizable ownership stake (23.7% of common stock) in a mega car parts company with a presence in the US, Mexico, and Brazil. This stock is up 30% year-to-date in a car market that has slowed down accompanied by a weaker discretionary spending environment due to high interest rates and inflation.

Cascade Investment reported owning a 22% stock in this company on February 13th, and the disclosure came just in the nick of time. This was because just five days later, the firm reported its second fiscal quarter earnings. The results sent the stock soaring by 8.7% as the company benefited from higher car prices leading to greater demand for its products. The firm’s second-quarter revenue and earnings per share of $3.86 billion and $28.89 beat analyst estimates of $3.84 billion and $26.28. By July end, Cascade’s stake grew to 24.9% and since then, the car parts manufacturer’s stock has gained 5.6%.

Bill Gates’ second investment disclosure through Cascade came in October when the firm declared that it owned a 7.1% stake in a diversified firm that sells electricity and plastic products such as pipe and also provides contract manufacturing services. The stock is down 7.4% year-to-date, but since Gates’ filing, it has gained 1.8%. It is also one of Gates’ oldest investments, with the billionaire having held a stake in it as early as 2000. It is also one of his most controversial plays since the firm generates electricity through conventional and polluting energy sources.

While Gates continues to hold stakes in the utility company and the car parts provider, Cascade Investments has also been busy selling one stock. All of its sales started at the end of October and have continued since then. The firm is selling a specialty chemicals company that caters to water treatment and other associated needs of waste treatment, semiconductor fabrication, pharmaceutical, and other industries. The shares had gained 2.74% year-to-date before Gates’ first sale, and since then, they have lost 0.90%. Interestingly, this stock also ranked 16th on our list of Wells Fargo’s Best Growth Stocks: 28 Stocks With The Highest Consensus EPS Growth Estimates. Since it’s an industrial stock, its fortune depends on broader US economic activity which also made it unsurprising that the shares

These three stocks are ones that have seen activity from Gates’ firm Cascade Investment. However, they are not the only ones that the billionaire has tinkered with this year. Gates’ other investment firm, Gates Frontier, also disclosed perhaps the most interesting stock of this introduction in February. This stock operates in one of the hottest industries right now. The shares are up 32% year-to-date, and the firm claims that its robotics technology “uses proprietary human-like surgical robots to virtually transport surgeons inside the patient to perform minimally invasive surgery.” The firm’s V1.0 surgical robot is currently planned to be submitted to the FDA for approval by mid-2026. Since the firm does not sell any products, it does not generate any revenue either. Consequently, it is a very risky play and Gates has likely invested in the to fund a new technology that might also end up making him money.

Our Methodology

To make our list of the latest stocks in Bill Gates’ portfolio, we scanned through the Bill & Melinda Gates Foundation’s SEC filings for the third quarter and picked out the top ten stocks with the highest investment stakes.

For these stocks, we also mentioned the number of hedge fund investors. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).

10. Coca-Cola FEMSA, S.A.B. de C.V. (NYSE:KOF)

Bill & Melinda Gates Foundation’s Investment Stake: $551 million

Number of Hedge Fund Investors In Q3 2024: 13

Coca-Cola FEMSA, S.A.B. de C.V. (NYSE:KOF) is a Mexican firm that is responsible for distributing Coca-Cola beverages in Mexico, Brazil,  Argentina, and other countries in the region.  Since it’s a distribution company, the firm’s narrative depends on its logistical operations, distribution capabilities, volume shipped, and the macroeconomic conditions in its market. Specifically for Coca-Cola FEMSA, S.A.B. de C.V. (NYSE:KOF), the firm is also digitizing its operations to streamline them. The firm is taking aim at digitization through its Juntos+ software application through which it allows customers to digitally place orders from anywhere through their phone. The application could streamline Coca-Cola FEMSA, S.A.B. de C.V. (NYSE:KOF)’s operations and the firm also stands to benefit from a weakening US dollar should the Fed maintain or add aggression to its current interest rate reduction cycle.

Coca-Cola FEMSA, S.A.B. de C.V. (NYSE:KOF) spend the third quarter augmenting Juntos+’s capabilities. Here’s what the firm shared during the earnings call:

“In digital, half of our clients are placing orders on a weekly basis with Juntos+. Additionally, our loyalty plan continues to gain traction with more than 100,000 clients redeeming points year-to-date.

We have also launched the pilot of our new sales force automation tool, Juntos+ Advisor, which has already delivered promising results. Powered by advanced AI model, Juntos+ Advisor enhances our sales force capabilities, enabling us to support our clients to reach their full potential. This tool significantly complements our customers’ omnichannel experience, offering a more seamless and personalized interaction across all touchpoints. We expect to gather learnings from this initiative and expand the rollout to the rest of Brazil and other markets in 2025.”

9. FedEx Corporation (NYSE:FDX)

Bill & Melinda Gates Foundation’s Investment Stake: $693 million

Number of Hedge Fund Investors In Q3 2024: 55

FedEx Corporation (NYSE:FDX) is one of the biggest logistics companies in the world. It operates through all modes of transport, namely, land, air, and sea. The firm also provides services to businesses and consumers. The nature of its business means that FedEx Corporation (NYSE:FDX) depends on global fuel prices, economic activity, and high volumes. Volumes are particularly important for firms like FedEx Corporation (NYSE:FDX) since they enable them to eke out high margins from a sizable operations base. In a tight economy where the firm has battled with competition, it is aware of the impact of costs on its bottom line. FedEx Corporation (NYSE:FDX) is addressing these issues through its DRIVE initiative that aims to reduce costs by $2.2 billion in the firm’s fiscal year 2025. As such, DRIVE is key to the firm’s hypothesis, and successful execution of strategies such as integrating its express and ground delivery networks should influence investor sentiment. In addition, FedEx Corporation (NYSE:FDX) also stands to suffer if tariffs promised by President-elect Donald Trump significantly impact global trade.

Carillon Tower Advisors mentioned FedEx Corporation (NYSE:FDX) in its Q3 2024 investor letter. Here is what the fund said:

“FedEx Corporation (NYSE:FDX) share prices have struggled after reporting disappointing earnings this past quarter. Management has continued its aggressive cost-reduction program, which could permanently improve the company’s operating margins. However, weak freight markets for every mode of transportation have weighed on pricing and volumes, largely offsetting the immediate cost benefits. We believe that the company can benefit from higher earnings power over the next several years tied to a rebound in volumes and its elimination of costs.”