Benzingaยท2025-08-14 15:27Core Insights - Warren Buffett's investment strategy involves quietly accumulating stakes in undervalued companies, exemplified by his recent investments in Occidental Petroleum Corp and VeriSign Inc [1][2] - Buffett's approach is characterized by stealth and patience, allowing him to avoid price spikes while building significant positions [2][3] Occidental Petroleum Corp (OXY) - Buffett holds a 28.2% stake in Occidental Petroleum, having acquired shares at approximately $45 in Q1 2022, although the stock has since decreased by 3.5% to $43.59 by August 2025, underperforming the S&P 500's 30% increase [2] - The company benefits from robust cash flows and a competitive 40% cost advantage in the Permian Basin, aligning with Buffett's strategy of buying low and anticipating long-term growth in the energy sector [3][6] VeriSign Inc (VRSN) - Berkshire Hathaway began investing in VeriSign in 2012, adding 474,000 shares at $206.96 in Q4 2024, with the stock price increasing from around $125 in 2013 to $273.99, representing a 119% gain compared to the S&P 500's 90% increase [3][4] - VeriSign's strong market position as a domain registry creates a competitive moat, showcasing Buffett's ability to identify sustainable business models [4] Investment Strategy and Market Position - Buffett's recent $2.6 billion investment in Q4 2024 across six stocks, including OXY and VRSN, reflects his confidence in these companies despite inherent risks such as oil price sensitivity and technology volatility [5][6] - With a substantial cash reserve of $340 billion, Berkshire Hathaway is well-positioned to pursue further investment opportunities, emphasizing the importance of patience in realizing long-term gains [6]