Warren Buffett’s 5 New Stock Picks Since 2022 Market Peak

In this piece, we will look at Greedy When Others are Fearful’: Warren Buffett’s 5 new stock picks since 2022 market peak. If you want to see more stocks in this selection, then take a look at Greedy When Others are Fearful’: Warren Buffett’s New Stock Picks Since 2022 Market Peak.

5. Paramount Global (NASDAQ:PARA)

Berkshire Hathaway’s Equity Stake in Q3 2023: $1.21 Billion
Stock Gain since Buffett Investment: -55%
Number of Hedge Fund Holders: 33

Paramount Global (NASDAQ:PARA) is a communication services company that operates as a media and entertainment company. Its TV media segment operates domestic and international broadcast networks, including CBS Television Network. Paramount Global (NASDAQ:PARA) also provides a portfolio of domestic and international pay- and free-streaming services.

Paramount Global (NASDAQ:PARA) was one of Buffett’s new stock picks in early 2022, as the market’s bear run was gaining momentum. Buffett acquired stakes worth $2.6 billion but has since trimmed his exposure to $1.2 billion, accounting for 0.38% of the portfolio. Paramount Global (NASDAQ:PARA) is down 55% since Buffett started investing in the media company.

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4. Capital One Financial Corporation (NYSE:COF)

Berkshire Hathaway’s Equity Stake in Q3 2023: $1.21 Billion
Stock Gain since Buffett Investment: 2%
Number of Hedge Fund Holders: 49

Capital One Financial Corporation (NYSE:COF) is another Buffett new stock pick since 2022 in the financial services sector that provides various financial products and services. Capital One Financial Corporation (NYSE:COF) accepts checking accounts, money market deposits and savings deposits.

Buffett acquired stakes worth $954 million at the start of 2022 as the overall market was deep into bear territory. The investment has since gained 2%, with Berkshire Hathaway exiting Q3 2023 with stakes worth $1.2 billion, accounting for 0.38% of the portfolio. Capital One Financial Corporation (NYSE:COF) also boasts a 2.25% dividend yield.

In its Q3 2023 investor letter, Davis New York Venture Fund shared its thoughts on Capital One Financial Corp. (NYSE:COF): 

“In spring 2023, a number of high-profile regional banks, none of which we owned, collapsed over the course of a few weeks. In contrast, the select, large banks we own, including Capital One Financial, actually saw deposit inflows and increasing profits, reinforcing our thesis that high-quality financial services companies remain among the most misunderstood and attractive sectors of the market. This stress test models a dramatic recession—one meaningfully worse than the great financial crisis of 2008-2009. It includes a 3.5% decline in gross domestic product, a 10% unemployment rate, a 37% decline in residential real estate, a 40% decline in commercial real estate and a 55% decline in the stock market. The resilience and strength required to weather such an economic storm combined with proven economies of scale in branding and technology should drive DNYVF market share gains and growth for years to come. Trading at some of the lowest valuations in the market, our financial sector holdings—such as Capital One Financial, deserve to be revalued upwards over time. In the meantime, increasing dividends and a shrinking share base create value while we wait.”

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3. Citigroup Inc. (NYSE:C)

Berkshire Hathaway’s Equity Stake in Q3 2023: $2.27 Billion
Stock Gain since Buffett Investment: -26%
Number of Hedge Fund Holders: 79

Citigroup Inc. (NYSE:C) is a company that offers financial products and services, including wholesale banking. Citigroup Inc. (NYSE:C) also provides fixed income and equity sale trading and foreign exchange.

Citigroup Inc. (NYSE:C) was one of Buffett’s new stock picks in 2022. The billionaire acquired stakes worth $2.9 billion, accounting for 0.81% of the portfolio in Q1 of 2022. Buffett has been buying and selling shares in Citigroup Inc. (NYSE:C) and taking advantage of the 4.62% dividend yield on offer. Berkshire Hathaway ended Q3 2023 with stakes worth $2.2 billion, accounting for 0.72% of the portfolio.

In its Q3 2023 investor letter, Silver Beech Capital discussed its views on Citigroup Inc. (NYSE:C): 

“Citigroup (“Citi”) is a large-capitalization global diversified financial services holding company that primarily serves multinational institutional and high net worth consumer clients. Citi is one of three large American banks to be designated in “bucket 3 or 4” of the “global systemically important bank” (“G-SIB”) framework by The Basel Committee on Banking Supervision. The other banks in this group are J.P. Morgan and Bank of America.…” (Click here to see the full text)

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2. HP Inc. (NYSE:HPQ)

Berkshire Hathaway’s Equity Stake in Q3 2023: $2.63 Billion
Stock Gain since Buffett Investment: -22%
Number of Hedge Fund Holders: 44

HP Inc. (NYSE:HPQ) is a company that provides PCs, printers and other devices. Its personal system segment offers commercial and consumer desktops and notebooks, while the printing segment offers consumer and commercial printer hardware supplies and solutions.

As HP Inc. (NYSE:HPQ) came under pressure in Q1 2022 after rallying in 2021, Buffett took advantage of the decline and acquired stakes as the stock was trading for $36 a share. Ever since, he has been buying and selling shares of HP Inc. (NYSE:HPQ), taking advantage of price swings. Nevertheless, the investment is down by about 22%. Berkshire Hathaway ended up with stakes worth $2.6 billion in Q3 2023, accounting for 0.84% of the portfolio and paying a 3.85% dividend yield for generating passive income.

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1. Occidental Petroleum Corporation (NYSE:OXY)

Berkshire Hathaway’s Equity Stake in Q3 2023: $14.54 Billion
Stock Gain since Buffett Investment: 36%
Number of Hedge Fund Holders: 75

Occidental Petroleum Corporation (NYSE:OXY) was one of Buffett’s new stock picks since 2022, as the legendary investor bought stakes as the Russia-Ukraine war exploded early last year. The war triggered fear in the equity markets, providing an attractive investment opportunity as oil prices raced higher and supply concerns.

Buffett acquired stakes worth $7.7 billion in Occidental Petroleum Corporation (NYSE:OXY) at about $44 a share in Q1 2022. Since then, Berkshire Hathaway’s stock has gained 36% and boasts a 1.20% dividend yield. As of Q3 2023, the holding firm held stakes worth $14.54 billion, accounting for 4.64% of the portfolio.

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