Buffett considers TotalEnergies amid Berkshire’s cash hoard

Investors around the world closely watch Warren Buffett’s investment decisions. As the CEO of Berkshire Hathaway, Buffett has built a reputation as a savvy investor with a long-term focus. In recent years, Berkshire Hathaway has amassed a significant cash pile, reaching $334 billion at the end of 2024. This has led to speculation about how Buffett will deploy this capital. One area of interest is Buffett’s holdings in the energy sector. Berkshire Hathaway has made substantial investments in companies like Chevron and Occidental Petroleum. However, some investors are looking at other options in the energy space, such as TotalEnergies. TotalEnergies is a French company that offers exposure to the oil and gas industry and the growing clean energy sector. The company has a strong global presence and maintains positive relationships with developing countries. What sets TotalEnergies apart from some of its U.S. competitors is its commitment to expanding its clean energy business. The company’s integrated power division grew by 17% in 2024, even as other companies scaled back their clean energy plans. For investors seeking to follow Buffett’s themes in the energy sector, TotalEnergies presents an attractive option. The company offers a high dividend yield of 6.7% and aligns with Buffett’s long-term investment philosophy.

#OnETNOW | Investing wisdom straight from the Oracle!

Vishal Khandelwal breaks down timeless lessons from Warren Buffett that every investor should know.

Watch the full interview here: https://t.co/mS8ApyF1N9#BerkshireHathaway #WarrenBuffett @safalniveshak @nikunjdalmia pic.twitter.com/voXhIHJg9N

— ET NOW (@ETNOWlive) May 5, 2025

Investors are eagerly awaiting Berkshire Hathaway’s first-quarter operating results for 2025. These results will provide insight into how Buffett has been managing the company’s cash reserves and whether he has made any significant moves in the stock market. One question on many investors’ minds is whether Buffett has been buying back shares of Berkshire Hathaway. In recent years, Buffett has spent billions on share repurchases, but 2024 marked the first time since 2018 that the company did not buy back any of its own stock.

Here’s why there will never be another Warren Buffett: Buffett’s combination of intense personal discipline, historical timing, and structural freedom cannot be reproduced. Since 1987, Berkshire shares have gained 27,809% in value, while S&P 500 has only gained 4,838%.… pic.twitter.com/GCloCUnJFS

— Holger Zschaepitz (@Schuldensuehner) May 4, 2025

As of April 2025, Berkshire Hathaway’s stock was trading at a nearly 80% premium to its book value, a level not consistently seen in over 16 years. This high valuation may be a factor in Buffett’s decision to hold off on further share repurchases. Despite the uncertainty surrounding Berkshire Hathaway’s near-term moves, Buffett’s long-term investment strategy remains intact. His portfolio is concentrated in a few key holdings, with the top five stocks accounting for nearly two-thirds of his total holdings. These top holdings include Apple, American Express, Bank of America, Coca-Cola, and Chevron. Buffett has held some of these stocks for decades, demonstrating his commitment to long-term investing.

OOPS! Berkshire Hathaway cash pile hits record $347.7bn in 1Q as Warren Buffett sells stocks for 10th quarter in a row. pic.twitter.com/g2BzLjKwpN

— Holger Zschaepitz (@Schuldensuehner) May 3, 2025

Buffett evaluates TotalEnergies for potential investment

In addition to these core holdings, Berkshire Hathaway has recently expanded its portfolio to include investments in the alcoholic beverage sector and increased its stake in Domino’s Pizza. The company has also made significant investments in Japanese trading houses, with plans to maintain these positions for the next 50 years. As investors await further insights into Buffett’s investment decisions, one thing remains clear: the Oracle of Omaha’s long-term approach to investing continues to be a model for investors worldwide. Buffett has built a track record of success that few can match by focusing on quality companies with strong fundamentals and holding these investments for the long haul. Image Credits: Photo by Viacheslav Bublyk on Unsplash