Berkshire Hathaway Increases Stake in Delta Air Lines Despite Warren Buffett’s Past Criticism
Greg Abel, CEO of Berkshire Hathaway, significantly increased the company's stake in Delta Air Lines during Q2 2026. The position grew by 44% to 57 million shares valued at $5.4 billion, making it one of Berkshire’s largest investments after Alphabet and its only airline holding. This move contrasts with Warren Buffett’s long-standing view that airlines are a poor investment due to their capital-intensive nature and low returns. However, Delta has transformed itself by diversifying into high-margin revenue streams such as premium products, loyalty programs, and American Express remuneration, which now account for 61% of its total revenue. Delta’s recent performance includes strong earnings guidance and a dividend increase in June 2026. While the stock has seen significant gains over the past year, it recently dipped slightly amid ongoing risks like fuel costs and economic cycles.
Tickers: $DAL
Topics: Berkshire Hathaway Delta Air Lines stock position increase Warren Buffett's legacy