Berkshire Hathaway has made portfolio changes in recent weeks and strengthened its position in new investments that may have a significant upward trend.
Berkshire Hathaway, the investment firm led by the renowned guru Warren Buffett recently revealed the most notable movements in its portfolio. Among the most significant operations is a considerable reduction in its stakes in giants such as Bank of America and Applewhich led to increasing its liquidity to a historical maximum of US$325.2 billion.
In addition to reducing its exposure in companies such as Capital One, Charter Communications, Floor & Decor, Nu Holdings and Ulta Beauty, Berkshire Hathaway strengthened its position in Heicoan aerospace and defense supplier specializing in commercial aircraft parts. Likewise, Buffett’s team ventured into new investments, acquiring shares in Domino’s Pizza and pool supplies supplier Pool Corporation.
After analyzing these transactions and the current composition of Berkshire Hathaway’s portfolio, Morningstar analysts highlighted three companies with attractive growth potential:
This financial group, specialized in car loans, continues to obtain a large part of its income from this segment. Although the slowdown in the auto market and higher credit prices have impacted its recent results, experts predict that Ally will exceed pre-pandemic performance levels, thanks to an optimized financing structure and its reduced dependence on dealers. Its price target stands at $46, which implies a potential for revaluation close to 20%.
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Kraft Heinz
This packaged food giant stands out for its renewed strategy, focused on promoting profitable and sustained growth. According to analysts, its upside potential could reach a remarkable 80%, cwith a price target of $56 per share.
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Verisign
A leader in website registration, Verisign benefits from a strong competitive advantage and favorable growth prospects. Morningstar assesses its position in the market and projects a price target of $195, which represents a 6% potential regarding its current price.
With these moves, Buffett continues to demonstrate his ability to balance caution and opportunity in a challenging economic environment.
Source: Ambito
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