This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Buffett's Big Move in Shaky Market

NEW YORK ( TheStreet) -- Be fearful when others are greedy, and be greedy when others are fearful. -- Warren Buffett

Warren Buffett is putting his money where his mouth is.

While sinking markets and renewed fears of a global recession were enough to drive many out of equities in the third quarter, the Oracle of Omaha used this blood-in-the-streets scenario to his advantage.

According to a recent regulatory filing for the quarter ended Sept. 30, the world renowned investor put $23.9 billion to work during this period -- his most substantial expenditure in 15 years.

Buffett has not traditionally been one to shy from the spotlight. However, in regard to his most recent shopping spree, the billionaire investor has been surprisingly coy. A considerable percentage of the nearly $24 billion could be attributed to the Berkshire Hathaway's (BRK.A - Get Report) Lubrizol acquisition, and Buffett's Bank of America (BAC - Get Report) preferred shares and warrants. In addition, however, the investor purchased nearly $7 billion in common equity.

The names of the companies that have received the most recent Buffett blessing, however, have yet to be released. The investor requested and was granted approval to temporarily withhold specifics. In the absence of concrete names, Buffett fans have been left to speculate.

Many have pointed out that Buffett appears to be expanding the reach of his legendary portfolio with this recent expenditure. With major slices of his portfolio dedicated to companies such as Coca-Cola (KO - Get Report), Wells Fargo (WFC - Get Report) and American Express (AMX - Get Report), the performance of the Berkshire Hathaway portfolio has long relied heavily on the financial and consumer goods industries. The presence of industrials, however, appears to be on the rise.

The filing notes that the cost basis on companies designated as "commercial, industrial, and other," currently stands at more than $17 billion. In addition to noting that this marks a 62% increase over the course of the quarter, a Bloomberg report said this category has surpassed the cost basis of his investments in financials and consumer goods.

While Warren Buffett's investment preferences may be shifting, there is also the strong chance that his recent hires are helping to influence the investors buying decisions. Many have questioned whether it was the recent Berkshire Hathaway newcomer, Todd Combs, who convinced the Nebraska native to take on exposure to credit card giant Mastercard (MA) during the opening half of the year.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
SPY $205.37 0.05%
AMX $20.48 -0.02%
BAC $15.29 -0.84%
BRK.A $216,820.00 0.27%
KO $40.10 -0.61%

Markets

DOW 17,687.24 +9.01 0.05%
S&P 500 2,059.10 +2.95 0.14%
NASDAQ 4,875.52 +12.1580 0.25%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs