11 Best Performing Warren Buffett Stocks in 2023

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In this article, we discuss 11 best performing Warren Buffett in 2023. If you want to skip our discussion on Buffett’s investment journey, head directly to 5 Best Performing Warren Buffett Stocks in 2023

Warren Buffett’s Berkshire Hathaway achieved a new record with its cash reserves reaching $157.2 billion, driven by elevated interest rates and a lack of prominent investment opportunities. Berkshire revealed on November 10 that this cash pile, primarily invested in short-term treasuries, exceeded the previous record set two years ago. Additionally, Berkshire reported operating earnings of $10.76 billion, indicating an increase compared to last year. This was attributed to the impact of higher interest rates on the cash reserves and profitability in its insurance businesses. Buffett, finding dull investment avenues in the market, focused heavily on share repurchases in Q3 instead. 

In the third quarter of 2023, Buffett completed $1.1 billion worth of share buybacks, putting his total repurchases around $7 billion at the end of September. Keeping in mind investment and derivatives losses, the hedge fund posted a Q3 loss of approximately $12.8 billion, which was mainly explained by losses in its equity portfolio. However, Buffett advises investors to consider factors beyond investment gains or losses, noting that these figures can be potentially misleading due to accounting rules.

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Earlier this year, Warren Buffett increased his investments in five Japanese trading houses, drawing praise from Chamath Palihapitiya, who referred to him as "the GOAT." The companies – Itochu, Marubeni, Mitsubishi, Mitsui, and Sumitomo – share a conglomerate structure similar to Berkshire Hathaway. They have a history of stable dividend payments and earnings growth. Palihapitiya  admired the brilliance of Buffett's trade, observing his ability to hedge currency risk by selling Japanese debt and profiting from the difference between investment dividends and bond coupon payments. 

Additionally, Buffett continues to rely on his largest investment, Apple Inc. (NASDAQ:AAPL), which constitutes half of Berkshire's equity portfolio. Buffett sees Apple as a consumer products company, and he is drawn to its substantial buyback programs. The Berkshire investment in Apple Inc. (NASDAQ:AAPL) has generated over $100 billion in gains since 2016. On the other hand, Berkshire Hathaway has trimmed its Chevron Corporation (NYSE:CVX) position for four consecutive quarters. Despite the divestment, Chevron remains the fifth-largest equity holding for Berkshire, valued at $18.5 billion. However, Berkshire increased its stake in Occidental Petroleum, demonstrating Buffett’s continued interest in the energy sector.

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