Billionaire Ken Griffin Is Buying These Warren Buffett Stocks Hand Over Fist. Should You?

Group 1: Investment Strategies - Warren Buffett and Ken Griffin are both billionaires and respected investors, but they have different investment styles, with Buffett holding 43 stocks and ETFs, while Griffin's Citadel Advisors owns over 5,700 [1] - In Q3 2024, Griffin significantly increased his positions in four stocks that Buffett also holds, indicating a divergence in their investment strategies [2] Group 2: Capital One Financial - Buffett reduced Berkshire Hathaway's position in Capital One Financial by 7.3% in Q3, indicating it is a small and relatively short-term holding [3] - In contrast, Griffin purchased an additional 1.6 million shares of Capital One, increasing Citadel's stake by nearly 483% [4] - The differing strategies may stem from Buffett's cash hoarding approach and Griffin's anticipation of a merger decision with Discover Financial Services [5] Group 3: Charter Communications - Berkshire Hathaway sold over 1 million shares of Charter Communications, reducing its stake by 26.3% in Q3 [6] - Griffin increased Citadel's position in Charter by approximately 60.8%, owning 1.86 million shares at the end of the quarter [6] - Charter's share price has risen 20% since the end of Q3, driven by positive earnings results and a $1.1 billion year-over-year increase in free cash flow [7] Group 4: Citigroup - Buffett did not sell any shares of Citigroup in Q3 and has maintained his position since initiating it in Q1 2022 [8] - Griffin dramatically increased Citadel's stake in Citigroup by 455%, owning over 8 million shares at the end of Q3 [8] - Citigroup's stock has risen 11% since the end of Q3, potentially due to investor expectations of reduced regulations in a second Trump administration [9] Group 5: Mastercard - Buffett has held a position in Mastercard since 2012 without any recent buying or selling activity [10] - Griffin acquired an additional 350,000 shares of Mastercard in Q3, increasing Citadel's stake by roughly 51% [10] - Mastercard reported 13% year-over-year net revenue growth in Q3, with adjusted earnings up 12%, and its stock has risen around 7% since the end of Q3 [11]