Warren Buffett Loads Up on DirecTV

In its latest regulatory filing, Berkshire Hathaway ($BRKA) detailed its portfolio changes. Since our strategy here isn’t too different from Buffett’s, we sometimes make similar moves. For example, Berkshire raised its stake in DirecTV ($DTV) by five-fold. On the other hand, they cut their stake in Johnson & Johnson ($JNJ). Interestingly, Buffett is now totally out of ExxonMobil ($XOM).

It also bought about 1.7 million shares in Liberty Media, veteran dealmaker John Malone’s media venture which has stakes in everything from baseball teams and satellite radio to bookstores and cable networks.

Berkshire’s quarter was also notable for a number of large moves. It raised its stake in at least five companies by more than 20 percent, including recent newcomers to the portfolio like Intel and General Dynamics. It also took a new stake in kidney dialysis provider DaVita.

In contrast, it slashed portfolio stalwart Johnson & Johnson by 23 percent. Berkshire had been its fifth-largest shareholder, according to Thomson Reuters data. It also sold its entire position in oil major Exxon Mobil.

DirecTV is due to report its earnings tomorrow. Wall Street expects 92 cents per share for the quarter and $4.38 per share for the year. If the yearly forecast is correct, that means DTV is growing at 29% while going for just over 10 times earnings.

Posted by on February 15th, 2012 at 7:04 am


The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

Tickers: , ,