Warren Buffett’s devoted followers were granted an unusual glimpse into his private stock portfolio this week, shedding light on the iconic investor’s holdings over the years. The portfolio, based on leaked Internal Revenue Service (IRS) data, revealed that Buffett, the 93-year-old centibillionaire and Berkshire Hathaway CEO, included Wells Fargo, Walmart, and Johnson & Johnson among his personal investments.
According to ProPublica’s report, Buffett sold approximately $466 million worth of shares between 2000 and 2019, in addition to disposing of substantial government and corporate bonds during the same period. The disclosed trades raised questions about potential conflicts of interest, as Buffett’s personal investments sometimes involved securities that were on Berkshire’s radar or part of its portfolio.
The reported sales included $20 million of Wells Fargo stock in April 2009, despite publicly endorsing the bank as one of its largest shareholders at the time. Similarly, Buffett sold $25 million of Walmart stock four months later, coinciding with Berkshire increasing its position. In October 2012, he disposed of $35 million of Johnson & Johnson stock shortly before Berkshire revealed a reduction in its stake.
While Buffett and Berkshire did not immediately respond to inquiries about these transactions, some analysts, like Adam Mead, author of “The Complete Financial History of Berkshire Hathaway,” suggest that Buffett may have strategically exited these positions to avoid potential conflicts as Berkshire increased its holdings.
Regardless of the alleged impropriety, the disclosed sales highlight that Buffett personally owned at least $80 million worth of these three stocks over the years. Considering Buffett’s long-term investment approach and infrequent selling, it’s likely that his overall portfolio is worth significantly more. The revelation offers insights into how Buffett manages his finances, as he only receives a $100,000 salary from Berkshire and has never sold any of his $100 billion-plus Berkshire stock.
Wells Fargo, Walmart, and Johnson & Johnson have been familiar names in Buffett’s portfolio, aligning with Berkshire’s historical investment choices. Wells Fargo was a Berkshire shareholder for over 30 years, Johnson & Johnson has been part of the portfolio for more than a decade, and Walmart has been a significant holding for an extended period.
