Warren Buffett'sBerkshire Hathaway made a move that caught even longtime investors off guard. The conglomerate first built a new position in Macy's in Q1 of 2026, marking its first public bet on a department store chain in about 60 years. Berkshire now holds 7.37 million shares of Macy's (M) worth roughly $173 million, according to filing data.
That stake grew 141.82% during the period covered by the filing, giving Berkshire 2.79% ownership of Macy's outstanding shares as of June 29, 2026. It's a small position relative to Berkshire's overall portfolio, representing just 0.06% of total holdings. Buffett has generally avoided traditional retailers for several years, and this shift suggests someone at Berkshire sees real value sitting inside Macy's stock right now.
Berkshire's relationship with department stores goes back to the 1960s, when Buffett and longtime partner Charlie Munger invested in Hochschild Kohn, a Baltimore-based chain. That bet didn't work out, and Buffett later became known for avoiding retailers facing structural headwinds like e-commerce competition and shrinking mall traffic. Buffett isn't making the call, since Berkshire's stock picks in recent years have often come from other portfolio managers.
Warren Buffett reveals he broke his own investing pattern Warren Buffett has a blunt take on today's market Warren Buffett pulls no punches on stock market for 2026 Still, any new retail bet from Berkshire tends to draw attention given the firm's track record of avoiding value traps. Macy's is the classic department store chain, selling apparel, cosmetics, and home goods across the middle-to-upper price range. Bloomingdale's is the luxury arm, known for high-end fashion and a more elevated shopping experience.
Bluemercury rounds things out as a specialty beauty and skincare retailer. Combined, the company carries a market cap of around $6.2 billion. The timing of Berkshire's stake lines up with a strong quarter for Macy's.
During its first-quarter 2026 earnings call, CEO Tony Spring told investors: "In the first quarter, we delivered enterprise-wide growth, better than expected performance across all key metrics. And our best comparable sales in four years with all nameplates and channels positive." Companywide comparable sales rose 3%, well above the company's own guidance of 0.5% to 1.5%. Related: Warren Buffett has a stark message for stock market investors Adjusted earnings per share came in at $0.13, beating a guidance range that topped out at a penny of profit.
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