What UK investors can learn from Warren Buffett’s recent trades

Warren Buffett’s each transfer is analysed underneath a microscope — and with good motive. Because the driving pressure behind Berkshire Hathaway, he’s created one of the crucial profitable funding information in historical past. 

However what does his newest buying and selling exercise reveal? And are there classes right here for UK buyers?

Whereas Buffett doesn’t usually put money into UK-listed corporations, many shares on the FTSE 100 have comparable traits to these in his portfolio — international attain, pricing energy, and constant money era.

Specifically, two latest Berkshire Holdings — Johnson & Johnson and Constellation Manufacturers — remind me of UK equivalents AstraZeneca and Unilever (LSE: ULVR).

Right here’s why they might be price contemplating for UK buyers.

A defensive pharma decide

Buffett trimmed his place in healthcare big J&J a number of years in the past however the logic behind proudly owning large-cap pharma stays. Corporations like these profit from large moats, excessive limitations to entry, and merchandise folks depend on whatever the financial cycle.

In that sense, AstraZeneca suits the invoice. The agency has constructed a various drug portfolio and is investing in oncology, immunology, and uncommon illnesses therapies. It additionally boasts spectacular financials: income grew 12% within the second quarter of 2025 and earnings per share climbed 27%.

Though the dividend yield is a modest 2.2%, the payout ratio is well-covered by earnings and has room to develop. The value-to-earnings (P/E) ratio of 19.7 could look excessive at first look, however is arguably justified by the corporate’s robust pipeline of long-term progress potential.

One danger? Drug growth failures and regulatory hurdles can hit income and sentiment onerous — however for buyers looking for Buffett-style defensiveness, AstraZeneca is one to think about.

At all times in demand

Buffett has been growing Berkshire’s place in Constellation Manufacturers just lately. His love for well-known branded shopper merchandise stems from their pricing energy, consistency, and model loyalty — traits additionally present in UK shopper items big Unilever.

With family names like Dove, Hellmann’s, and Persil in its portfolio, Unilever enjoys broad international publicity. In Q2 2025, turnover rose 3.3% 12 months on 12 months, pushed by a return to quantity progress. Regardless of inflationary strain, it maintained working margins above 16% — spectacular for an organization on this area.

The three.4 % dividend yield, backed by a payout ratio of round 75%, provides strong passive earnings potential. And whereas the share worth has struggled lately, a ahead P/E ratio of 17 suggests the worst could already be priced in.

The present aggressive panorama is difficult, although, and poses dangers to Unilever’s backside line. Altering shopper tastes and competitors from personal labels may proceed to weigh on earnings. Over an prolonged interval, this might threaten a dividend reduce if debt piles up.

Nonetheless, when wanting on the greater image, I imagine the dimensions and model energy of the corporate are sufficient to maintain it resilient.

Sustainable high quality

Buffett’s funding rules — purchase high quality, maintain lengthy, ignore the noise – proceed to resonate. 

Whereas Berkshire Hathaway is probably not snapping up FTSE 100 shares, companies like AstraZeneca and Unilever share most of the identical strengths as his US holdings. 

For affected person UK buyers, following his philosophy may simply repay.