The Bill & Melinda Gates Foundation Trust’s Top Stock Picks for Q4

#3 Waste Management Inc. (NYSE:WM)

 – Shares Owned by the Bill & Melinda Gates Foundation Trust (as of September 30): 18.63 Million

 – Value of Holding (as of September 30): $928.14 Million

The Bill & Melinda Gates Foundation Trust holds 18.63 million shares of Waste Management Inc. (NYSE:WM) as of September 30, a position that also did not undergo any adjustments during the third quarter. The provider of comprehensive waste management environmental services reported third quarter revenues of $3.36 billion, compared to $3.60 billion reported last year. The company’s divestitures and the foreign exchange translation impacted its top-line for the third quarter. Even so, Waste Management delivered net income of $335 million for the quarter, which was an increase from the $270 million reported in the same quarter last year. Meanwhile, the stock is almost 5% in the green year-to-date, thanks to the company’s strong stock performance over the past several months. Cliff Asness’ AQR Capital Management lifted its position in Waste Management Inc. (NYSE:WM) by nearly 869,000 shares during the latest quarter to 2.58 million shares.

#2 Canadian National Railway (USA) (NYSE:CNI)

 – Shares Owned by the Bill & Melinda Gates Foundation Trust (as of September 30): 17.13 Million

 – Value of Holding (as of September 30): $972.12 Million

Michael Larson and his team did not touch their position in Canadian National Railway (USA) (NYSE:CNI) during the September quarter, which amassed 17.13 million shares valued at $972.12 million on September 30. The railroad operator delivered a relatively strong financial performance in the third quarter despite the weaker global demand for coal, energy-related commodities, and lower volumes of semi-finished steel products. Canadian National Railway’s top-line grew by 3% year-over-year to $3.22 billion, while its diluted earnings per share increased by 21% to $1.26. Shares of the railroad operator are down by 14% for the year, but its trailing P/E ratio of 18.53 might point to more upside in the forthcoming months. D.E. Shaw & Co. L.P., founded by David E. Shaw in 1988, reduced its exposure to Canadian National Railway (USA) (NYSE:CNI) by 261,013 shares during the three-month period that ended September 30, remaining with 1.60 million shares.

#1 Berkshire Hathaway Inc. (NYSE:BRK.B)

 – Shares Owned by the Bill & Melinda Gates Foundation Trust (as of September 30): 79.38 Million

 – Value of Holding (as of September 30): $10.35 Billion

The Bill & Melinda Gates Foundation Trust owned a whopping 79.38 million Class B shares of Berkshire Hathaway Inc. (NYSE:BRK.B) at the end of the third quarter, up by 10.76 million shares quarter-over-quarter. This equity position accounts for 60.05% of the fund’s equity portfolio as of September 30. It is worth pointing out that this 10.76 million share-block was most probably a donation, as Warren Buffett, who serves as a foundation trustee for the Bill & Melinda Gates Foundation, routinely donates Berkshire shares to the Gates Foundation. The Class B shares of Berkshire have lost 9% since the beginning of the year. Boykin Curry’s Eagle Capital Management owns 11.24 million Class B shares of Berkshire Hathaway Inc. (NYSE:BRK.B) as of September 30.

Disclosure: None