Warren Buffett's Berkshire Hathaway Just Exited Its Stake in T-Mobile and Loaded Up on an Artificial Intelligence (AI) Infrastructure Stock That's Risen 7,850% Since Its IPO
-
Berkshire exited the large mobile carrier T-Mobile, despite the fact the company has been executing well.
-
Berkshire also disclosed a few mystery stocks that it purchased in the first quarter but chose to keep confidential until recently.
-
One stock Berkshire bought is a traditional commodity company positioned as an artificial intelligence infrastructure play.
Warren Buffett’s company Berkshire Hathaway recently filed its 13F form with the Securities and Exchange Commission (SEC), disclosing what stocks the large conglomerate held at the end of the second quarter. Using these filings, investors can see what stocks Berkshire bought and sold in a three-month window and get a rare glimpse into the minds of some of the smartest investors in the world.
Berkshire has been a bit muted in recent quarters, choosing to pile into cash. But the company did make some notable moves in the second quarter, selling one decent-sized position and loading up on an artificial intelligence (AI) infrastructure stock.
The one position that Berkshire completely exited in the quarter was in the large mobile carrier T-Mobile (NASDAQ: TMUS). The company sold its entire position that had been valued at over $1 billion. Based on filings, Berkshire initiated its position in T-Mobile toward the end of 2020, and appears to have done well on the stock, which is up over 120% in the past five years.
T-Mobile has also had a strong 2025, with the stock up about 16.5% (as of Aug. 15), and it recently reported strong second-quarter earnings. Diluted earnings per share of $2.84 rose about 14% year over year, while revenue jumped nearly 7%. Meanwhile, the company achieved some of its best-ever customer growth in the quarter, including 12% growth in its 5G broadband customer base, which is among the best in the industry.
In 2023, T-Mobile initiated a dividend, which it has already grown significantly, and management’s goal is to grow the quarterly dividend 10% annually. The team at Berkshire may simply be choosing to sell T-Mobile high. The stock is not far off from all-time highs and is now trading at a fairly high forward price-to-earnings ratio above 23. That’s toward the higher end of where it has historically traded in recent years, and well above peers. The company has earned the valuation but Berkshire may see it as fairly priced right now.
Many investors came into this 13F season excited about Berkshire once they realized that it would unveil some mystery stocks. Funds can request permission from the SEC to keep certain positions confidential for a certain amount of time. So Berkshire actually purchased Nucor (NYSE: NUE) in the first quarter, but the market only just found out about it in the company’s second-quarter 13F. Berkshire’s position in Nucor amounted to over $850 million at the end of the second quarter.
Nucor is a steel company at its core. However, AI investors have gotten very interested because Nucor makes steel parts for data centers, which are in high demand to power and store all of the necessary data for large language models and AI applications. As a result of this and the way Nucor is positioned to support other burgeoning sectors, the stock has ripped close to 215% over the past five years and is up about 27% this year.
Nucor’s earnings through the first six months of the year are down significantly compared to last year, as the costs to make its steel products have risen. Investors were also disappointed by management’s third-quarter guidance calling for “nominally lower” earnings, mainly due to margin compression in some of its segments.
But the market expects President Donald Trump’s 50% steel tariffs to benefit U.S. steel companies like Nucor, which will have an easier time raising prices because steel manufactured in other countries will be less competitive and more expensive. However, it could take time for higher prices to roll through. Nucor trades at about 17.5 times forward earnings, which I wouldn’t necessarily call cheap in the steel sector.
However, we have seen Buffett and his team get interested in U.S.-based commodity companies like oil and gas, perhaps due to a belief in increasing demand over time and a finite supply. Nucor could fit into this theme.
The Motley Fool’s expert analyst team, drawing on years of investing experience and deep analysis of thousands of stocks, leverages our proprietary Moneyball AI investing database to uncover top opportunities. They’ve just revealed their 10 best stocks to buy now — did Nucor make the list?
When our Stock Advisor analyst team has a stock recommendation, it can pay to listen. After all, Stock Advisor’s total average return is up 1,070% vs. just 184% for the S&P — that is beating the market by 885.55%!*
Imagine if you were a Stock Advisor member when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation, you’d have $668,155!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you’d have $1,106,071!*
The 10 stocks that made the cut could produce monster returns in the coming years. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
*Stock Advisor returns as of August 18, 2025
Bram Berkowitz has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Berkshire Hathaway. The Motley Fool recommends T-Mobile US. The Motley Fool has a disclosure policy.
Warren Buffett’s Berkshire Hathaway Just Exited Its Stake in T-Mobile and Loaded Up on an Artificial Intelligence (AI) Infrastructure Stock That’s Risen 7,850% Since Its IPO was originally published by The Motley Fool