Warren Buffett Sold 29% of Bank of America and Bought This Consumer Stock for 4 Consecutive Quarters

Although Warren Buffett has stepped down as the CEO of Berkshire Hathaway, the Oracle of Omaha remains chairman of the company's board of directors. Additionally, Buffett's legacy is likely to persist through the countless values he taught the Berkshire team and also through investments Buffett led in Berkshire's massive equities portfolio.

Berkshire likes to buy and hold stocks long-term, so it's likely that many of the stocks Buffett chose to purchase will remain in the portfolio for many years, if not longer.

In his final few years as CEO, Buffett sold 29% of Berkshire's large stake in Bank of America and piled into consumer stock Domino's Pizza (NASDAQ: DPZ) for four consecutive quarters.

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Berkshire eyes potential in Domino's

Berkshire and Buffett were longtime fans of banks, until seemingly the pandemic. In this challenging time, Berkshire dumped most of its large bank holdings, but held on to a select few, including Bank of America, which remained one of Berkshire's top positions.

Since the third quarter of 2024, Berkshire has sold 29% of its position in the stock. At the end of the third quarter of 2025, Bank of America still remained the third-largest position in Berkshire's portfolio.

Large bank stocks have performed well more recently, but investors are now starting to have concerns about valuations and have sold this subsector to start 2026. Still, if you are looking for a way to play potential rotation and not be overly exposed to artificial intelligence, banks aren't a bad place to be.

As mentioned earlier, while selling Bank of America, Berkshire purchased shares of the popular pizza chain Domino's Pizza for four consecutive quarters. At the end of the third quarter of 2025, Berkshire held close to $1.3 billion of the stock.

Domino's has actually struggled over the past year, with its stock down by more than 21%. The company, which has a large delivery network of its own, has faced competition from other food-delivery companies while also dealing with inflation, labor shortages, and high labor costs. However, it's not uncommon for Berkshire to buy stocks early because of its ability to hold positions long-term.

Domino's has also been a highly resilient company over the years, thanks to pizza's recession-proof nature and the company's ability to grow and capture market share.

Domino's is also a tech-forward company with a well-designed app and delivery that's generally considered fast. Management plans to turn things around through a combination of initiatives, including offering value at a time when consumers are price-conscious, rolling out new menu items, and focusing more on profitable growth.

Bank of America is an advertising partner of Motley Fool Money. Bram Berkowitz has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Berkshire Hathaway and Domino's Pizza. The Motley Fool has a disclosure policy.