The 5 Most Diversified Stocks That Hedge Funds Love

2. Berkshire Hathaway Inc. (NYSE:BRK-A)

Number of Hedge Fund Shareholders: 141

Berkshire Hathaway Inc. (NYSE:BRK-A) is one of the most diversified companies on the planet, owning dozens of varied businesses that include insurance, manufacturing, energy, retail, and railroad companies. Then there’s the holding company’s iconic hedge fund operations, which had $300 billion in 13F securities on June 30, being invested heavily in the tech, finance, and consumer staples industries.

The company’s investment portfolio did take a massive hit during Q2 given the state of the bear market, which led to a $44 billion net loss for the company. Short-term investment performance isn’t a good way to measure the company however. More importantly, Berkshire pulled in $76.2 billion in revenue and recorded an operating profit of over $11 billion.

Shares of Warren Buffett’s holding company Berkshire Hathaway Inc. (NYSE:BRK-A) are among the ten most popular among hedge funds. Michael Larson’s Bill & Melinda Gates Foundation Trust, which receives an annual gift of BRK-A shares donated by Mr. Buffett, is the largest shareholder of the holding company, owning 34.7 million shares worth $9.47 billion as of June 30.

The Diamond Hill Large Cap Fund discussed the latest happenings regarding its Berkshire Hathaway Inc. (NYSE:BRK-A) investment in the fund’s Q1 2022 investor letter:

“Diversified holding company Berkshire Hathaway reported strong earnings during the quarter and benefited from continued share repurchases below intrinsic value. The company also announced significant deployments of excess cash during the quarter, including the acquisition of Alleghany and a large increase in its stake in Occidental Petroleum.”