It’s that time again, investors!
Berkshire Hathaway Inc. (NYSE:BRK.B) just released its latest stock holdings today, and I’ve already spent some time dissecting exactly what Warren Buffett’s company bought last quarter.
But now, let’s take a look at the stocks Berkshire Hathaway Inc. (NYSE:BRK.B) most recently sold:
| Company | Shares Held | Shares Sold in Q2 | Market Value (as of June 30, 2013) | % of Portfolio | % Change |
|---|---|---|---|---|---|
| Gannett Co., Inc. (NYSE:GCI) | 0 | 1,740,231 | $0 | 0% | (100%) |
| Mondelez International Inc (NASDAQ:MDLZ) | 578,000 | 6,474,750 | $16,490,000 | 0.02% | (91%) |
| Kraft Foods Group Inc (NASDAQ:KRFT) | 192,666 | 1,409,395 | $10,764,000 | 0.01% | (87%) |
| Moody’s Corporation (NYSE:MCO) | 24,922,178 | 3,493,072 | $1,518,508,000 | 1.71% | (12%) |
| GlaxoSmithKline plc (ADR) (NYSE:GSK) | 1,476,021 | 34,479 | $73,757,000 | 0.08 | (2%) |
Source: Berkshire Hathaway SEC filings.
So, what jumps out from this table?
On one hand, newspaper publisher Gannett Co., Inc. (NYSE:GCI) stands alone as the only company in which Berkshire Hathaway Inc. (NYSE:BRK.B) sold its entire stake last quarter. Note, however, the position was small, and even with shares of Gannet trading near their 52-week highs, Berkshire Hathaway Inc. (NYSE:BRK.B)’s shares would have been worth just over $42 million dollars at today’s prices.
Berkshire’s position in food and beverage specialist Mondelez International Inc (NASDAQ:MDLZ), on the other hand, dropped by a much more significant dollar amount, as the stake it sold last quarter would have been worth more than $200 million at today’s price of above $31 per share. As it stands, Berkshire Hathaway Inc. (NYSE:BRK.B)’s remaining position in the company is currently worth roughly $18 million.
In addition, and on a much more significant note, Berkshire also dumped a whopping 87% of its shares in Mondelez International Inc (NASDAQ:MDLZ) competitor Kraft Foods Group Inc (NASDAQ:KRFT) in Q2, which would have amounted more than $755 million at today’s levels.
Of course, this shouldn’t come as a huge surprise considering Berkshire has made a habit of reducing its stake in Kraft ever since Buffett criticized the company for its plan to issue new shares in a bid to acquire Cadbury back in 2009. As it turns out, Buffett first began selling Kraft to help finance Berkshire’s acquisition of Burlington Northern Santa Fe in November the same year.
Berkshire also continued unloading its stake in financial services company Moody’s Corporation (NYSE:MCO) last quarter, selling almost 3.5 million shares in Q2, which would have been worth around $225 million as of this writing. Remember, Berkshire started steadily unloading its stake in the ratings agency back in early 2009, when it owned around 48 million shares. For those of you keeping track, that’s nearly double Berkshire’s currently held number of Moody’s Corporation (NYSE:MCO) shares.
Finally, Berkshire Hathaway Inc. (NYSE:BRK.B) sold an inconsequential number of its shares in drug-maker GlaxoSmithKline plc (ADR) (NYSE:GSK), leaving the remaining stake in the company relatively unchanged.
What’s an investor to do?
Of course, this doesn’t mean you should go out and immediately sell each of these stocks. After all, we don’t know exactly where Berkshire is putting this money to use, so it’s hard to say whether these are truly “bad” investments. Who knows? Maybe Berkshire Hathaway Inc. (NYSE:BRK.B) simply needed the money elsewhere — say, for example, to finance another big acquisition or two.
The article Here’s What Berkshire Hathaway Sold Last Quarter originally appeared on Fool.com and is written by Steve Symington.
Fool contributor Steve Symington has no position in any stocks mentioned. The Motley Fool recommends Berkshire Hathaway and Moody’s. The Motley Fool owns shares of Berkshire Hathaway.
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