Airline Shares Reach Record as Buffett's Berkshire Extends Bet

  • Investment firm becomes biggest shareholder in Delta, United
  • Evercore sees ‘one of the biggest pivots’ in investing history

Warren Buffett Beefs Up Airline, Apple Bets in 4Q

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Airline shares reached a record after Warren Buffett’s Berkshire Hathaway Inc. increased its stakes in the four biggest U.S. carriers, adding to a bet that industry consolidation will end the boom-and-bust cycles the billionaire long shunned.

Berkshire’s latest purchases made it the largest shareholder in Delta Air Lines Inc. and United Continental Holdings Inc., and No. 2 in American Airlines Group Inc. and Southwest Airlines Co. The holdings represent one of the biggest common-stock investments in years for the company controlled by Buffett, who once called airlines “a death trap for investors.”