BN portfolios: Berkshire builds $2.6bn Delta Airlines position amid sector reset

Key topics:Berkshire buys $2.6B stake in Delta Airlines (6.1% holding)Buffett-era airline skepticism contrasts with renewed exposureBerkshire reshuffles portfolio: boosts Alphabet, exits Amazon, Visa, more.By Alexandre Rajbhandari.Berkshire Hathaway Inc. amassed a $2.6 billion stake in Delta Airlines Inc., reigniting the conglomerate’s complicated relationship with the airline industry.The Omaha, Nebraska-based company said it had purchased 39.8 million shares in the airline as of the end of March, according to a regulatory filing Friday. The move — which amounted to a 6.1% stake — sent shares of the carrier up more than 3% in late trading. Airlines are grappling with higher fuel costs after the US-Iran war effectively closed the Strait of Hormuz, sparking concerns over energy supply. Earlier this month, Spirit Airlines Inc. ended operations after failing to secure emergency funding..Read more:.Berkshire shareholders warm to Greg Abel in post-Buffett era debut.Under former Chief Executive Officer Warren Buffett, Berkshire had a tense relationship with the airline industry over the decades. After a troublesome investment in USAir, Buffett once joked in 2001 that he would call an 800 number to declare he was an “air-o-holic” if he ever got the urge to invest in airlines again.Then in 2016, Berkshire dove into the industry again, amassing stakes in the four largest U.S. airlines. But Buffett reversed course again in 2020, when he exited holdings in Delta, Southwest Airlines Co., American Airlines Group Inc. and United Airlines Holdings Inc. as the sector was grappling with the fallout from the Covid-19 pandemic. The filing is the first under newly installed Chief Executive Officer Greg Abel, who took the reins at Berkshire this year after Buffett stepped down following six decades at the helm.Berkshire during the quarter also boosted its holding in Alphabet Inc., adding 36.4 million shares in Google’s parent company, while exiting its bet on Amazon.com Inc. Berkshire also exited positions including Visa Inc., Mastercard Inc., UnitedHealth Group Inc., Diageo plc, Pool Corp. and Domino’s Pizza Inc.UnitedHealth has been trying to rebuild confidence with investors after struggling to adapt to changing US government payment policies. The stock dropped roughly 2.5% in post-market trading on Friday..Read more:.Greg Abel’s message to Berkshire shareholders, post-Buffett: be patient.Berkshire also revealed it has amassed a stake in retailer Macy’s Inc. A stronger-than-expected sales outlook had boosted Macy’s stock earlier this year. Shares of the department store operator jumped more than 6% in late trading on Friday.Abel has offloaded the equity holdings that were previously managed by Todd Combs, Berkshire’s former stock-picker, the Wall Street Journal reported last month, citing unnamed people familiar with Berkshire’s investments. Combs joined JPMorgan Chase & Co. in December for a broad investing advisory role..© 2026 Bloomberg L.P..Sign up for your early morning brew of the BizNews Insider to keep you up to speed with the content that matters. The newsletter will land in your inbox every morning on weekdays. Register here.Support South Africa's bastion of independent journalism, offering balanced insights on investments, business, and the political economy, by joining BizNews Premium. Register here.If you prefer WhatsApp for updates, sign up to the BizNews channel here.

BN portfolios: Berkshire builds $2.6bn Delta Airlines position amid sector reset

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