Picture supply: The Motley Idiot
Warren Buffettβs each transfer is analysed underneath a microscope β and with good motive. Because the driving drive behind Berkshire Hathaway, heβs created some of the profitable funding information in historical past.Β
However what does his newest buying and selling exercise reveal? And are there classes right here for UK traders?
Whereas Buffett doesnβt sometimes spend money on UK-listed corporations, many shares on the FTSE 100 have related traits to these in his portfolio β international attain, pricing energy, and constant money era.
Particularly, two current Berkshire Holdings β Johnson & Johnson and Constellation Manufacturers β remind me of UK equivalents AstraZeneca and Unilever (LSE: ULVR).
Right hereβs why they might be value contemplating for UK traders.
A defensive pharma choose
Buffett trimmed his place in healthcare big J&J just a few years in the past however the logic behind proudly owning large-cap pharma stays. Corporations like these profit from extensive moats, excessive obstacles to entry, and merchandise folks depend on whatever the financial cycle.
In that sense, AstraZeneca suits the invoice. The agency has constructed a various drug portfolio and is investing in oncology, immunology, and uncommon ailments therapies. It additionally boasts spectacular financials: income grew 12% within the second quarter of 2025 and earnings per share climbed 27%.
Though the dividend yield is a modest 2.2%, the payout ratio is well-covered by earnings and has room to develop. The value-to-earnings (P/E) ratio of 19.7 might look excessive at first look, however is arguably justified by the corporateβs sturdy pipeline of long-term development potential.
One threat? Drug improvement failures and regulatory hurdles can hit income and sentiment exhausting β however for traders in search of Buffett-style defensiveness, AstraZeneca is one to think about.
All the time in demand
Buffett has been growing Berkshireβs place in Constellation Manufacturers lately. His love for well-known branded client merchandise stems from their pricing energy, consistency, and model loyalty β traits additionally present in UK client items big Unilever.
With family names like Dove, Hellmannβs, and Persil in its portfolio, Unilever enjoys broad international publicity. In Q2 2025, turnover rose 3.3% 12 months on 12 months, pushed by a return to quantity development. Regardless of inflationary strain, it maintained working margins above 16% β spectacular for a corporation on this area.
The three.4 % dividend yield, backed by a payout ratio of round 75%, presents stable passive revenue potential. And whereas the share value has struggled lately, a ahead P/E ratio of 17 suggests the worst might already be priced in.
The present aggressive panorama is difficult, although, and poses dangers to Unileverβs backside line. Altering client tastes and competitors from personal labels might proceed to weigh on earnings. Over an prolonged interval, this might threaten a dividend lower if debt piles up.
Nonetheless, when wanting on the greater image, I consider the size and model energy of the corporate are sufficient to maintain it resilient.
Sustainable high quality
Buffettβs funding ideas β purchase high quality, maintain lengthy, ignore the noise β proceed to resonate.Β
Whereas Berkshire Hathaway will not be snapping up FTSE 100 shares, companies like AstraZeneca and Unilever share lots of the identical strengths as his US holdings.Β
For affected person UK traders, following his philosophy may simply repay.