Weekly Update: Buffett’s $5B Mystery Buy
Good evening, and welcome to this week’s edition of Stealth Trades!
For weeks, the Wall Street rumor mill has been stirring over a mysterious new $5 billion investment by Warren Buffett.
This morning, we learned what it was…
Despite reports by several sources claiming one large bet, it ended up being $5 billion invested in a small handful of stocks.
The biggest was United Health (UNH). Following the CEO’s assassination earlier this year, UNH stock has been battered. It is down more than 50% from its 2025 highs and Buffett decided to take advantage.
He purchased 5,039,564 shares between April 1 and June 30.
The rest of his buys, at least the major ones, came from the real estate/housing/construction space.
The Oracle of Omaha more than tripled his position in homebuilder Lennar (LEN). He also added 2 million shares of Pool Corp (POOL) – a clear bet on a boom in new home construction.
Berkshire Hathaway reported new positions in the real estate investment trust, Lamar (LAMR), and the building materials company, Allegion Plc (ALLE).
We have been seeing strength in the construction sectors for the last couple months now as I have discussed in our recent live webinars.
The 1 and 2-month sector performance charts below show these areas steadily rising up the ranks.
Buffett, along with myself and a lot of Wall Street, are betting on a housing boom.
I recommend watching stocks in these areas for potential breakout trades. Eagle Materials (EXP), for example, looks primed for a strong move higher.
I made a video walking through Buffett’s 13F filing as well as a few ways to position your money to profit from a move in this sector. Here’s the link if you want to take a look: https://youtu.be/Z02U-gx_mlY
We will discuss this more in Monday’s live training session at 9am ET. I’ll see you there.
Best wishes for your trading,
