What Buffett's Recent Portfolio Choices Reveal: Five Core Holdings That Define Berkshire's 2026 Strategy

The Enduring Influence of Buffett’s Investment Philosophy

When Warren Buffett stepped back from his CEO role at Berkshire Hathaway, many market watchers questioned whether the company’s investment direction would fundamentally shift. Yet the reality tells a different story. Despite the leadership transition to Greg Abel, the portfolio held by Berkshire Hathaway remains deeply rooted in Buffett’s investment principles. This continuity matters because Buffett retains the chairman position, controls 30.4% of voting power across Class A and Class B shares, and—most significantly—every single stock currently in Berkshire’s holdings was acquired during his tenure as decision-maker.

As 2026 unfolds, approximately 65% of this carefully constructed portfolio is concentrated in just five positions. These holdings paint a clear picture of what Buffett values most: durable competitive advantages, predictable cash flows, and businesses built to last decades.

Apple: The Smartphone Empire That Still Dominates

Despite trimming Berkshire’s stake substantially over recent years, Apple remains the crown jewel of the portfolio. With 238.2 million shares representing 21.1% of total holdings, the tech giant is Berkshire’s single largest position—a remarkable commitment that underscores Buffett’s confidence in long-term iPhone ecosystem resilience.

While some analysts speculate that Abel might reduce the position further, the fundamental thesis supporting Apple ownership appears unshaken. Customer loyalty surrounding the iPhone continues to set industry benchmarks. Beyond smartphones, Apple’s reported development of advanced smart glasses positions the company as a potential leader in an emerging trillion-dollar market. The combination of installed base and innovation pipeline suggests this position has sustainable staying power under the new leadership structure.

American Express: The “Forever Business” Strategy

Buffett explicitly labeled American Express as a stock Berkshire would hold “indefinitely”—language he reserved for only a handful of positions. This extraordinary designation explains why Amex comprises 18.3% of the current portfolio, making it the second-largest holding by weight.

The financial services giant’s competitive moat—built on brand prestige, merchant network effects, and premium customer relationships—aligns perfectly with Buffett’s framework for identifying “wonderful businesses.” Abel’s appointment figures unlikely to alter this thesis. The CEO change represents a continuation rather than a pivot, particularly since both leaders appear united in valuing businesses with structural advantages that compound over time.

Bank of America: A Contrarian Bet with Attractive Valuation

Buffett’s enthusiasm for bank stocks has cooled considerably from its peak, yet Bank of America maintains a substantial $31 billion+ stake worth 10.2% of Berkshire’s portfolio. The position reflects a calculated view: while economic headwinds and regulatory pressures challenge the sector, BAC trades at a compelling forward P/E ratio of 12.7—pricing in meaningful pessimism.

Under Abel’s stewardship, this holding likely remains stable rather than subject to aggressive pruning. However, expect measured patience rather than aggressive accumulation. The valuation offers downside protection while allowing Berkshire to participate in any sector recovery, a characteristically pragmatic Buffett move that his successor appears positioned to maintain.

Coca-Cola: The Timeless Consumption Story

Few stocks carry the Buffett brand association quite like Coca-Cola. Beyond the numerical detail—400 million shares making KO Berkshire’s fourth-largest position—Buffett’s personal consumption habits signal conviction that transcends financial analysis. He drinks Coke regularly, embodying his own investment thesis about products with enduring human appeal.

This position almost certainly remains sacrosanct under new leadership. The logic mirrors the American Express reasoning: Coca-Cola represents a business model that sustains itself through decades of consumer preference and global distribution infrastructure. Selling even a fraction of this stake would contradict Abel’s implied mandate to preserve Buffett’s legacy holdings intact.

Chevron: Energy Income with Trimming Optionality

Rounding out the top five, Chevron ranks fifth in the portfolio with over 122 million shares. While Buffett has occasionally trimmed this energy sector position, the holdings remain material enough to generate substantial dividend income—currently yielding an attractive 4.5% to the conglomerate.

Buffett’s fascination with Occidental Petroleum and CEO Vicki Hollub shouldn’t overshadow Chevron’s role as a stable, income-producing asset. Though Abel might opportunistically reduce exposure, expect Berkshire to maintain meaningful stakes given the cash yield advantage and energy sector dynamics. Gradual trimming rather than strategic exits appears the probable path forward.

The 65% Concentration: Intentional Focus

That nearly two-thirds of Berkshire’s portfolio concentrates in these five names reflects conscious choice rather than oversight. Each holding exhibits the hallmarks of Buffett’s investment criteria: fortress-like competitive advantages, predictable earnings, attractive dividend profiles, and limited disruption risk.

The stability of these core positions under Abel’s leadership provides confidence that fundamental investment philosophy will persist even as tactical decisions evolve. For investors studying Buffett’s approach, these five holdings offer a masterclass in portfolio construction: deep conviction in a small number of exceptional businesses, rather than shallow diversification across mediocre opportunities.