24/7 Wall Street
28 May 2026, 12:47 UTC · 2h ago
Source · https://247wallst.com/investing/2026/05/28/berkshire-hathaway-is-underperforming-but-4-of-warren-buffetts-top-picks-are-up-big-this-year/
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5 claims · impact-rated
Warren Buffett stepped down as CEO of Berkshire Hathaway on December 31, 2025, with Greg Abel officially taking over on January 1, 2026. — A leadership transition at one of the world's largest conglomerates creates systemic uncertainty and is cited as a primary driver for the stock's current underperformance.
-0.50Berkshire Hathaway significantly increased its stake in Alphabet in Q1 2026, tripling its position to make it the fifth-largest holding in the portfolio. — Massive capital allocation by a prestige investor into a specific mega-cap tech stock typically signals strong conviction and attracts follow-on buying.
+0.40Berkshire Hathaway has underperformed the S&P 500 by nearly 13 percentage points so far in 2026, with its stock down 3.2% while the index gained 9.6%. — Sustained underperformance relative to the benchmark suggests a period of valuation correction or a lack of confidence in the new leadership's immediate impact.
-0.30Search tags
American Express, one of Berkshire's largest holdings, has declined approximately 20% year-to-date in 2026. — Significant losses in a core portfolio holding drag down the overall valuation of the conglomerate.
-0.20Coca-Cola raised its full-year EPS guidance to 8% to 9% growth following a Q1 2026 earnings beat. — Positive guidance and earnings beats from a major consumer staple provide a stabilizing effect and bullish signal for the stock.
+0.20Ticker attribution
Model heads
The stock is up 15.09%, trading near 52-week highs, and beat Q1 earnings estimates with raised guidance.
The stock is down around 20% year to date and is cited as a primary weight on Berkshire's results.
The stock is up about 24.3% in 2026 and was significantly increased as a holding by Berkshire Hathaway.
The stock is up 21.9% year-to-date and is described as a safer option in the energy sector.
The company is underperforming the S&P 500 and facing uncertainty due to the leadership transition from Buffett to Abel.
[a_to_b] Coca-Cola is a top long-time holding in Berkshire Hathaway's portfolio.
[a_to_b] Berkshire Hathaway maintains a significant equity position in Chevron.
[a_to_b] Berkshire Hathaway holds a significant equity stake in Alphabet, making it the fifth-largest holding in its portfolio.
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