Highlights:
- Warren Buffett boosts stake in Occidental Petroleum in the first quarter of 2022
- Berkshire Hathaway now owns 12.17% of the outstanding shares, worth roughly $6.9 Billion
Warren Buffett stocks have been outperforming the market in recent months. Berkshire Hathaway has been actively putting its cash reserves to work in the first quarter of 2022. Most recently, Buffett’s Berkshire Hathaway increased its stake in Latin American fintech company, Nu Holdings. As well as, the purchase of insurance giant Alleghany on Monday in a $11.6 billion deal.
Now, Berkshire Hathaway recently boosted its stake in the oil and gas giant, Occidental Petroleum. Berkshire disclosed in an SEC filing on March 9th, 2022 that it made multiple purchases of the company. Purchases were made on Wednesday, Thursday and Friday between $51.43 and $58.44 per share.
Warren Buffett’s Berkshire Hathaway now owns 12.17% of Occidental Petroleum’s outstanding shares, worth roughly $6.9 billion. Occidental Petroleum has been on a tear over the past few months. The stock is up more than 50% in the past month, and over 100% in the past 6 months.
As the Biden Administration imposed sanctions on Russian oil imports, U.S. oil and gas producers soared. Brent Crude Oil is now trading over $120.00 a barrel, within striking distance of setting new yearly highs.
Heightened geo-political tensions between Russia and the U.S. and the war in Ukraine continue to put pressure on U.S. oil supply. Increased demand for commodities and high inflation are also impacting oil prices.
Warren Buffett Top Oil Stocks
With inflation at a 40-year high, investors continue to search for safe haven bids. Warren Buffett, one of the world’s most successful investors, is bullish on oil stocks in this high inflationary environment. Berkshire Hathaway’s top oil stocks in its portfolio are Occidental Petroleum and Chevron Corporation. Additionally, Berkshire Hathaway owns 1.98% of Chevron’s outstanding shares, compared to 12.17% of Occidental’s outstanding shares.
Investing in an uncertain market can be difficult for beginner investors. Following the smart money can be a great way to find an edge. However, its important to always do your own research and come to your own conclusions.
Check out the top Warren Buffett stocks for 2022 here.
Disclosure: The author holds no position mentioned in this article. Freedom Stocks has a disclosure policy.
