Warren Buffett is one of the greatest investors ever, if not the greatest. His company, Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B), has a roughly $294 billion stock portfolio comprised of 45 stocks and exchange-traded funds that have helped make Berkshire the giant it is today.
Throughout the year, though, it has taken its foot off the gas pedal and slowed its stock buying and share repurchases. In the third quarter, Berkshire barely bought any stocks, didn't repurchase any of its own stock for the first time since 2018, and increased its hoard of cash and short-term U.S. Treasuries to more than $320 billion.
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Although Buffett and Berkshire aren't in a stock-buying mood, they still hold many companies with high conviction. Here are two to buy hand over fist in November.
Berkshire owns 33% of the digital audio company Sirius XM Holdings (NASDAQ: SIRI), and it's the 15th largest position in the conglomerate's equities portfolio. Buffett got involved in Sirius in 2016 and has been in and out of it ever since.
He seems to have a much higher conviction in the name after increasing his stake in the company by close to 940% in October alone.
Sirius spun off Liberty Media and conducted a stock split earlier this year. The stock has declined more than 50% this year, despite the bull market, as investors have grown concerned about declining subscribers and high debt.
However, the company is embarking on a new plan to boost paying subscribers, which involves acquiring exclusive advertising and distribution rights to popular podcast brands like the advice and comedy podcast Call Her Daddy; SmartLess, hosted by the actors Jason Bateman, Will Arnett, and Sean Hayes; and Conan O'Brien's Team Coco.
These deals are not cheap but can draw new audiences to the platform and provide more appeal to advertisers. While Sirius is still losing subscribers, the pace has slowed in the past two quarters.
Sirius has other appealing qualities. It is technically a pure monopoly, having the only satellite radio license in the U.S. It is not expensive, trading at less than 8 times earnings, and it has a dividend yield north of 4%, so investors are being paid to wait while the company tries to execute a turnaround.
It's well known that Buffett loves investing in companies that have or can build strong competitive moats. Sirius has a legal monopoly, but Visa (NYSE: V) is not far behind, having developed a network crucial to the global payments system, which will be difficult for challengers to replicate.