Since the mid-60s, Warren Buffett, famously known as the Oracle of Omaha, has consistently outshone expectations for Wall Street. By the end of trading on July 17, his company’s Class A shares (BRK.A) had yielded a staggering cumulative return of approximately 5,732,279%.
Observing such a consistently successful trader, it’s no wonder that many investors strive to imitate his strategies in the hope of enjoying substantial long-term profits by following in his footsteps, so to speak.
Keeping tabs on Buffett’s investments can be quite straightforward, all thanks to the Form 13F filings submitted to the Securities and Exchange Commission. Essentially, a 13F is a necessary report that must be submitted within 45 days after the end of a quarter. This document offers insights into which stocks some of the most astute investment managers on Wall Street are currently buying, selling, or holding onto.
According to Berkshire Hathaway’s quarterly reports, it appears that Warren Buffett has been selling more stocks than buying since October 2022. This is particularly noticeable in the reduction of Berkshire’s largest holding, Apple Inc. (AAPL). However, Buffett, also known as the Oracle of Omaha, seems to be finding interesting investment opportunities elsewhere, as suggested by his consistent purchase of a specific consumer-focused stock over the past three quarters.
Buffett bids adieu to more than 615 million shares of Apple
In the final quarter of 2023, Warren Buffett managed a total of 915,560,382 Apple shares in Berkshire Hathaway’s investment portfolio. However, during the subsequent year, the company’s billionaire CEO sold off 615,560,382 shares, which represents a decrease of approximately 67%. As of now, Buffett retains ownership of 300 million Apple shares, making it Berkshire Hathaway’s most valuable investment.
As a passionate finance aficionado, I can’t help but wonder: What led the renowned investment maestro on Wall Street to sell off nearly two-thirds of his valuable Apple holdings?
Discussing corporate income taxes, Warren Buffet expressed his view during Berkshire Hathaway’s 2024 annual meeting that the highest tax rate for corporations might increase in the future, even before President Trump won in November. This prediction means that holding onto substantial untaxed gains from Apple could potentially be seen as a smart move by investors looking back on it later.
After this declaration, Congress enacted and President Trump affixed his signature to the Permanent One, Big, Beautiful Tax Bill, a law that keeps the top corporate income tax rate at 21% permanently.
But there might be more to this selling activity than meets the eye.
Initially, it appears that Apple’s growth momentum has slowed down over the past couple of years. Despite the consistent increase in revenue from subscription services at a remarkable rate, these services now account for a larger portion of total sales. However, sales of Apple’s physical devices (like iPhone, Mac, iPad, and wearables such as Apple Watch) have either remained flat or decreased during this period.
In the fiscal year that concluded on September 25, 2021, Apple announced a net income of $94.7 billion and an earnings per share (EPS) of $5.67. Fast forward three years, and Apple’s net income slightly decreased to $93.7 billion, while its EPS increased to $6.11. It’s worth noting that the increase in EPS can be attributed entirely to Apple’s extensive share repurchase program.
Warren Buffett might also have reservations about Apple’s current valuation. One principle that Berkshire Hathaway’s CEO never deviates from is his pursuit of a favorable investment opportunity. However, Apple’s predicted Price-to-Earnings (P/E) ratio seems to indicate it’s far from an attractive deal.
Despite Apple’s earnings not increasing significantly in the past few years, the company’s stock price has risen by approximately 40% over the last three years. Its projected price-to-earnings ratio is relatively high at 27. Although Apple continues to be a profitable company and its management favors substantial share repurchases, there doesn’t seem to be a compelling reason to invest in Apple stock currently.
The Oracle of Omaha has purchased shares of this consumer giant for three consecutive quarters
During the period from October 1, 2022 to March 31, 2025, Warren Buffett’s total stock sales have surpassed his purchases by a massive $174.4 billion. However, he has identified a few exceptional businesses that he finds attractive enough to invest in heavily. One of these outstanding companies is the restaurant chain Domino’s Pizza (DPZ), which has experienced an incredible growth of over 7,400% since its July 2004 Initial Public Offering (IPO), including dividends.
By mid-2024, Berkshire Hathaway hadn’t held a single Domino’s Pizza share. However, since then, the man known as the Oracle of Omaha has presided over the acquisition of: (Domino’s Pizza shares)
- Q3 2024: 1,277,256 shares
- Q4 2024: 1,104,744 shares
- Q1 2025: 238,613 shares (2,620,613 total shares held)
Buffett doesn’t blunder into billion-dollar ventures; instead, it’s probably his keen interest in Domino’s Pizza that leads him there. This could be because Domino’s has consistently met or surpassed its growth targets for a considerable length of time.
Domino’s latest five-year strategy, called “Hungry for MORE,” emphasizes innovation by integrating artificial intelligence and enhancing their supply chain. Additionally, it places greater importance on their franchisees and their role in strengthening the brand.
2024 was the 31st straight year that Domino’s international branches experienced an increase in same-store sales. This consistent growth in organic sales abroad wouldn’t be possible without the company’s brand messages resonating strongly with customers.
Another thing that likely appeals to Buffett is the trust Domino’s Pizza has established with its customer base. In the late 2000s, Domino’s launched a campaign admitting their pizza wasn’t great and promising improvement. While such advertising strategies don’t always succeed, Domino’s honesty over the past 15 years or so has struck a chord with consumers and kept many of them devoted to the brand.
In addition, Domino’s Pizza consistently raises its base annual dividend over multiple years and occasionally buys back its own shares. Berkshire’s renowned investor often admires companies that prioritize long-term shareholders through such incentives.
In my perspective, the one drawback I notice about Domino’s Pizza is its relatively high price tag when considering it trades at 24 times forward-year earnings. Yet, given Warren Buffett’s keen understanding of consumer trends, it seems he appreciates the potential that Domino’s has shown through their “Hungry for MORE” strategic growth plan.
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2025-07-21 10:13