Gates Foundation Reduces Berkshire Holdings by $818 Million to Buy Home Depot
The Gates Foundation Trust reduced its holdings in Berkshire Hathaway by approximately $818.9 million in the second quarter of 2026, while establishing a new position in Home Depot.
The trust sold about 2.4 million shares of Berkshire, reducing its holdings to 14.7 million shares, with the market value dropping from $8.17 billion to $7.35 billion, a reduction of 14%.
During the same period, it purchased 1 million shares of Home Depot, establishing an initial position valued at $352.7 million, and added to its FedEx Freight holdings.
The trust also slightly reduced its holdings in Waste Management by about 3%.
The overall portfolio is shifting towards consumer retail and logistics infrastructure.
Funds are moving from long-term core holdings to home improvement retail and logistics, with a rebalancing of event-driven portfolios, putting pressure on Berkshire-related positions while benefiting Home Depot and the logistics sector.
Source: Public Information
ABAB AI Insight
The Gates Foundation Trust has long held Berkshire as its largest position and has gradually reduced its holdings multiple times. This Q2 action continues its systematic adjustment of the blue-chip portfolio under the foundation's sunset plan.
The new position in Home Depot comes amid high pessimism in the housing market, motivated by a strategy to capitalize on low prices for counter-cyclical consumer and infrastructure-related assets, shifting from concentrated holdings to a more diversified retail and logistics approach.
Similar to other large foundations reallocating in response to interest rates and economic cycles, it is currently in a phase of shifting from traditional value core to defensive consumer sectors.
This essentially represents a capital path adjustment. Long-term concentrated positions are being partially realized due to the foundation's spending needs, with visible trades through 13F disclosures reshaping the portfolio's risk and return structure.
ABAB News · Cognitive Law
Long-term core positions will also be gradually realized.
Pessimistic moments often serve as entry points for new positions.
Foundation portfolio adjustments carry more signal significance than individual trades.