Warren Buffett, the renowned investor, made some strategic moves in the stock market just before Christmas by acquiring shares of Occidental Petroleum and other companies during a rapid December sell-off. Berkshire Hathaway, Buffett’s conglomerate, purchased an additional 8.9 million shares of Occidental Petroleum for $405 million, increasing its stake in the Houston-based energy producer to over 28%. Additionally, Berkshire bought around 5 million shares of Sirius XM for approximately $113 million and about 234,000 shares of VeriSign for roughly $45 million during the same period.
The total value of stocks purchased by Berkshire over the last three sessions amounted to more than $560 million. It seems that Buffett took advantage of a market downturn to acquire these stocks at a discounted price. Occidental Petroleum, once founded by the legendary oilman Armand Hammer, saw its shares decline by over 10% in the month, resulting in a 24% loss for the year. Despite being Berkshire’s sixth-largest equity holding, Buffett has ruled out a full takeover of the energy company.
In contrast, Sirius XM experienced a more significant decline, with its stock falling by 23% in the month and 62% for the year. Berkshire increased its stake in Sirius XM to about 35% following Liberty Media’s merger with the radio company. VeriSign, a tech company, has also faced challenges, with its stock down by 6% in 2024, lagging behind the tech sector.
It’s worth noting that Warren Buffett is 94 years old, and an earlier version of this article incorrectly stated his age. Overall, Buffett’s recent stock purchases reflect his confidence in the long-term potential of these companies despite short-term market fluctuations. These moves demonstrate Buffett’s continued focus on value investing and strategic decision-making in turbulent market conditions.
