Warren Buffett’s Berkshire Hathaway BRK.A BRK.B will file its second-quarter 13F in the next week. We know from the company’s second-quarter earnings release that it was a net seller of equities during the second quarter. “Sales of $6.9 billion were offset by purchases of $3.9 billion of equity securities during the period,” reports Morningstar senior analyst Gregg Warren.
But even when Berkshire isn’t in full-blown buy mode, investors still want to know which stocks Buffett and his team bought and sold. And Buffett’s stock picks could be even more interesting than usual this time around: The second quarter included the April stock market selloff, which may have presented Berkshire with more buying opportunities than previous quarters in the recent past.
Ahead of the company’s forthcoming 13F release, here are some ideas about which stocks Buffett and his team might have bought and sold in Berkshire’s portfolio during the second quarter, plus two Warren Buffett stocks that look attractive today.
5 Stocks Berkshire Hathaway Might’ve Bought Last Quarter
Berkshire’s regulatory filings since the start of the second quarter indicate that Buffett and his team didn’t initiate a 10%+ stake in any new companies during the second quarter, nor did they add to Berkshire’s existing positions in companies it already had a 10%+ stake in. (Note: Institutional managers with more than $100 million in asset under management who own more than 10% of a public company must disclose their purchases and sales of that company’s stock shortly after the transaction.)
That doesn’t mean there wasn’t any buying going on, though. Buffett has been building positions in the stocks listed below during the past year; perhaps Berkshire continued adding to these names during the second quarter:
Outside of what will appear in the second-quarter 13F, more recent regulatory filings show that Berkshire picked up additional shares of Sirius XM SIRI in late July and early August; Berkshire owns more than a third of the company.
6 Stocks Berkshire Hathaway Might’ve Sold Last Quarter (and 1 It Did for Sure)
Regulatory filings show that Berkshire sold off more of its stake in DaVita DVA during the second quarter after doing so during the first quarter and continued selling into May (the latter sales falling outside of the period covered in the upcoming 13F).
In addition to DaVita, which other Warren Buffett stocks might Berkshire have scaled back in or sold entirely last quarter? It’s possible that the Oracle of Omaha and his team continued to reduce their stakes in companies that they’ve been scaling back in during the past year, including these:
Berkshire also reduced its position in VeriSign VRSN in July, which falls outside of the period covered by the second-quarter 13F.
2 Warren Buffett Stocks to Buy Before Berkshire Releases Its Q2 13F
As the table above suggests, most of Berkshire Hathaway’s top holdings from the start of the second quarter are fairly valued or overvalued today. But two top Berkshire stocks are trading at attractive prices, according to Morningstar. They look like Warren Buffett stocks to buy today.
Here’s a little bit about why we like these undervalued stocks, along with some key metrics for each. Data is as of August 6, 2025.
Occidental Petroleum
- Morningstar Rating: 4 stars
- Morningstar Economic Moat Rating: None
- Morningstar Capital Allocation Rating: Standard
- Industry: Oil and Gas E&P
Berkshire Hathaway owns 27% of Occidental Petroleum’s stock. Although Occidental Petroleum is one of the world’s largest independent oil and gas producers, we don’t think it has carved out an economic moat—though we believe it’s on the cusp of earning its cost of capital, adds Morningstar director Josh Aguilar. We assign Occidental Petroleum a $59 fair value estimate, and shares are trading 28% below that.
Here’s Morningstar’s take on Occidental Petroleum’s business:
Occidental is one of the world’s largest independent oil and gas producers. Its upstream operations are spread across the US, the Middle East, and North Africa. It has a consolidated midstream business, which provides gathering, processing, and transport services to the upstream segment, and it holds a majority equity interest in Western Midstream. The portfolio also includes a chemicals business, which produces caustic soda and PVC. The latter segment benefits from low energy and ethylene costs, while its profitability is determined by the strength of the broader economy.
The $55 billion Anadarko deal was a huge undertaking for Oxy, which itself had an enterprise value of about $50 billion at the time. The cash portion was partly financed with a $10 billion preferred equity investment from Berkshire Hathaway, along with the proceeds from the sale of Anadarko’s Mozambique assets, which Total purchased for $3.9 billion in late 2019. While these arrangements left Oxy with a heavy debt burden prior to the pandemic, drastic measures helped management steady the ship, and the firm took full advantage of the subsequent rebound in commodity prices, generating enough cash to fully repair the balance sheet and pave the way for significant capital returns. The firm is obligated to match distributions above $4 per share annually with preferred equity redemptions.
The midstream segment also includes Oxy Low Carbon Ventures, which partners with third parties to implement carbon capture, storage, and utilization projects. This activity differentiates Occidental from most peers, which merely focus on curtailing their own emissions. Oxy’s experience sequestering carbon dioxide for enhanced oil recovery potentially enables it to go further. Management has ambitious plans to develop direct air capture facilities that should also generate incremental revenue.
Finally, Oxy closed the roughly $12 billion CrownRock acquisition in 2024. This acquisition provides Oxy with a high-grade asset portfolio and allows Oxy to add significant production capacity in the Midland Basin. While this acquisition comes at an elevated capital cost, we think it will help create firmwide operating efficiencies.
Joshua Aguilar, Morningstar director
Read Morningstar’s full report on Occidental Petroleum.
Kraft Heinz
- Morningstar Rating: 5 stars
- Morningstar Economic Moat Rating: Narrow
- Morningstar Capital Allocation Rating: Standard
- Industry: Packaged Foods
Yes, this may appear to be a controversial “Warren Buffett” stock pick. After all, Berkshire took a $3.8 billion write-down on its Kraft Heinz stake during the second quarter. This was Berkshire’s second write-down of its Kraft Heinz holdings since 3G Capital and Berkshire merged their Heinz holdings with Kraft Foods in 2015, says Morningstar’s Warren: The prior write-down occurred in 2019. “At that time, Buffett acknowledged that 3G Capital and Berkshire had overpaid for Kraft Foods,” he adds.
But from Morningstar’s perspective, Kraft Heinz looks like an opportunity for new investors today. We think Kraft Heinz stock is worth $51, and shares are trading at a 47% discount to that fair value.
Here’s what Morningstar director Erin Lash had to say about Kraft Heinz shortly after rumors surfaced about a breakup last month.
Kraft Heinz traded about 3% higher on July 11 following a report by The Wall Street Journal that it could separate its operations. Details were scant as to the composition of either business, and the timing is unclear.
Why it matters: Like others in its space, Kraft Heinz has struggled to juice sales as consumers pinch pennies, and health and wellness take center stage (with rising GLP-1 penetration and regulatory pressure).
- While management may suggest that separation would afford more focus for each unit, we think it would be driven by a desire to unlock a higher multiple.
- This move would mirror actions over the past 10 years-15 years from WK Kellogg/Kellanova, Kraft/Mondelez, Conagra/Lamb Weston, Sara Lee, Fortune Brands, and others.
The bottom line: Given that a breakup is far from certain, we’re holding the line on our $51 fair value estimate for narrow-moat Kraft Heinz.
- We believe the stock is a bargain, as the market seems to expect a lasting volume contraction on the heels of persistent inflation, waning consumer spending, and aggressive competition.
- In our view, efforts to unearth cost savings (with $1.5 billion achieved thus far out of the $2.5 billion targeted by 2027) should support brand spending, resulting in low-single-digit top-line growth over the long term.
Between the lines: If a split is announced, we think Kraft Heinz could combine its sauces, condiments, meals, and snacking brands (about $8.5 billion in annual sales by our estimate) while spinning off its commoditized fare (coffee, meats, and cheese) and its hydration and desserts business ($17 billion).
- Based on a sum-of-the-parts analysis, we assume the condiments and snacking piece could garner a high-teens EBITDA multiple (given more robust sales growth and margin prospects), versus a low-teens valuation for the commoditized arm (with lower growth and weaker profits).
- However, we don’t believe this would result in material value appreciation, given the potential for added costs.
Erin Lash, Morningstar director
