Berkshire Hathaway significantly increased its investment in Alphabet, the parent company of Google, and expanded its holdings in the US homebuilding sector during the second quarter of 2026, according to the latest regulatory filing. Meanwhile, the company reduced positions in several financial stocks and other sectors as part of portfolio adjustments.
- Berkshire increased Alphabet stake to 106 million shares valued at $37.76 billion
- Homebuilding investments expanded, including a $6.8 billion acquisition of Taylor Morrison
- Portfolio reduced in financial stocks and exited Constellation Brands position
What happened
In the second quarter of 2026, Berkshire Hathaway notably increased its holdings in Alphabet by purchasing approximately 48.1 million additional shares, raising its total stake to around 106 million shares. This move represented a significant increase from 17.8 million shares held at the end of 2025, with the stake valued at nearly $38 billion as of June 30. Additionally, Berkshire expanded investments in the US homebuilding sector, increasing its shares in Lennar by nearly 30% and establishing a new position in D.R. Horton.
Further bolstering its housing portfolio, Berkshire completed a $6.8 billion acquisition of homebuilder Taylor Morrison in July. The conglomerate also increased positions in other sectors, including stakes in Delta Air Lines and Macy's. At the same time, it trimmed its exposure in financial companies, reducing holdings in Bank of America, Ally Financial, and Capital One Financial, and fully divested from beverage company Constellation Brands.
Why it matters
Berkshire Hathaway's expanded investment in Alphabet under CEO Greg Abel signals strong confidence in the tech giant's future, especially as Alphabet ramps up capital expenditures to fuel its artificial intelligence infrastructure. The $10 billion stock investment agreement reached in June underscores Berkshire’s strategic commitment to technology innovation.
The focus on homebuilders reflects Berkshire’s bet on the US housing market as a key growth area, with acquisitions and increased stakes positioning the company to benefit from ongoing demand. Conversely, the reduction in financial sector holdings and exit from some stocks highlights a rebalancing of the portfolio in line with evolving market conditions and investment priorities.
What to watch next
Market observers will be keen to track Berkshire Hathaway’s further moves in technology and housing sectors, especially any additional stake increases or acquisitions. Alphabet’s planned $80 billion infrastructure investment to advance AI capabilities will be critical to watch for assessing long-term growth and innovation potential that supports Berkshire’s increased exposure.
Investor attention will also focus on Berkshire’s ongoing portfolio adjustments in financial services and other sectors to understand the company’s strategic positioning under CEO Greg Abel. The performance of new housing investments and integration of Taylor Morrison will be important indicators of the conglomerate’s execution in this space.