After 11 consecutive quarters of being a net seller, Warren Buffett finally went shopping again. Berkshire Hathaway deployed $3.9 billion across 10 different stocks in Q2, marking a significant shift for the Oracle of Omaha who’s been sitting on a mountain of cash—$344 billion to be exact.
While Buffett’s buying spree included everything from homebuilders to pizza chains, four names stand out as particularly compelling opportunities for individual investors. These aren’t just stocks Buffett bought—they’re companies facing temporary headwinds that could create outsized returns for patient investors.
UnitedHealth Group (UNH)
UnitedHealth represents classic Buffett contrarian thinking. The healthcare giant has been hammered by a perfect storm of challenges: Medicare Advantage fraud investigations, rising medical costs, and deteriorating consumer sentiment. The stock sits roughly 51% below its 52-week high—a dramatic fall for a company that’s been a consistent market outperformer.
But here’s what makes this interesting: UnitedHealth’s fundamental business model hasn’t changed. The company still dominates the managed care space with unmatched scale advantages. The current investigations and cost pressures are serious, but they’re also temporary. Healthcare demand isn’t going away, and UnitedHealth’s infrastructure positions it to benefit as these headwinds subside.
The 2.75% dividend yield provides income while you wait for the recovery, and at current prices, you’re essentially betting that one of America’s largest healthcare companies won’t permanently lose its competitive edge. That’s the kind of asymmetric risk-reward that has made Buffett billions.
Nucor Corporation (NUE)
Steel might seem like an old-economy investment, but Nucor is positioning itself as a stealth artificial intelligence beneficiary. As the leading U.S. steel supplier, the company stands to profit enormously from the data center construction boom sweeping across America.
The timing couldn’t be better. President Trump’s 50% tariff on steel imports creates a protective moat around Nucor’s domestic operations. Less foreign competition means better pricing power, especially as AI companies race to build the infrastructure needed for their computing demands.
Recent cost pressures have weighed on margins, but that’s created an opportunity. Nucor’s mini-mill technology gives it significant cost advantages over traditional steelmakers, and the company has consistently gained market share during economic downturns. With data center construction accelerating and trade protection in place, Nucor could see both volume and pricing improve simultaneously.
Constellation Brands (STZ)
This is the crown jewel of Buffett’s recent purchases—and it’s easy to see why. Constellation owns the exclusive U.S. distribution rights to Corona and Modelo, two of the fastest-growing beer brands in America. While the overall beer market struggles, Constellation continues stealing market share, gaining 0.6 points of dollar sales share last quarter alone.
The company’s competitive moat is nearly impenetrable. You can’t just decide to compete with Corona—Constellation owns the rights. This monopoly-like position in premium Mexican imports has allowed the company to consistently outperform competitors even during tough industry conditions.
Yes, the wine and spirits business has been a drag, but management just divested the low-performing brands in June. The streamlined operation should generate $1.5 billion to $1.6 billion in free cash flow annually—money that’s being returned to shareholders through dividends (2.51% yield) and aggressive share buybacks.
At less than 13 times forward earnings, you’re getting a dominant market position at a bargain price. The stock has actually declined since Buffett started buying, creating an even better entry point for new investors.
Lennar Corporation (LEN)
Current Price: Recent lows | Housing Shortage Play
Homebuilders have been among the market’s most hated sectors, and for good reason. High home prices combined with elevated interest rates have created a toxic environment for housing demand. Lennar has been forced to offer incentives like mortgage rate buydowns just to move inventory, crushing margins in the process.
But Buffett didn’t build his fortune by following the crowd. America’s housing shortage isn’t going away—it’s actually getting worse. The National Association of Realtors estimates we’re short roughly 5 million homes, a deficit that will take years to address even under the best circumstances.
Lennar’s current struggles are cyclical, not structural. The company remains one of the most efficient homebuilders in America, with strong land positions in high-growth markets. When interest rates eventually normalize and consumer confidence returns, Lennar should benefit from both pent-up demand and its improved competitive position after weaker competitors exit the market.
The Bottom Line
Buffett’s shopping list reveals a consistent theme: quality companies facing temporary headwinds trading at attractive valuations. UnitedHealth’s regulatory challenges, Nucor’s cost pressures, Constellation’s industry headwinds, and Lennar’s cyclical struggles all create opportunities for patient investors.
These aren’t speculative growth plays—they’re established businesses with competitive advantages that should compound wealth over time. With Buffett’s $344 billion cash pile finally being deployed, it might be time to follow the master’s lead and start shopping while others are selling.
