Jeremy Grantham’s Latest Portfolio: Microsoft, Alphabet Dominate GMO Holdings

Jeremy Grantham reported an equity portfolio valued at approximately $39.10 billion in the latest quarter, reflecting GMO’s long-standing focus on high-quality businesses with durable competitive advantages and strong long-term earnings power.

The portfolio remains broadly diversified across technology, healthcare, financials, and industrials, while maintaining meaningful concentration in a select group of large-cap holdings. The latest filing showed moderate activity, with several additions to core positions, a notable reduction in Lam Research, and a number of complete exits from smaller holdings.

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Portfolio Snapshot

Total Portfolio Value: ~$39.10B
Top 10 Weight: 39.91%
Turnover: Low to Moderate

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Top Holdings & Weights

• Microsoft Corporation — 5.85%
• Alphabet Inc. — 5.08%
• Johnson & Johnson — 4.55%
• Apple Inc. — 4.50%
• Meta Platforms — 4.50%
• Lam Research Corporation — 3.77%
• Amazon.com Inc. — 3.32%
• Thermo Fisher Scientific Inc. — 3.15%
• Broadcom Inc. — 2.65%
• U.S. Bancorp — 2.54%

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Key Takeaways

GMO’s portfolio continues to emphasize dominant global franchises with strong balance sheets, recurring cash flows, and attractive long-term growth prospects. Large positions in Microsoft, Alphabet, Apple, Meta, Amazon, Broadcom, and Lam Research highlight the firm’s conviction in leading technology and semiconductor businesses despite ongoing market enthusiasm for artificial intelligence-related investments.

Healthcare remains another major theme through Johnson & Johnson, Thermo Fisher Scientific, Abbott Laboratories, and UnitedHealth Group. These positions provide exposure to defensive industries with durable demand and resilient earnings profiles.

The portfolio also maintains meaningful exposure to financials through U.S. Bancorp and Visa, balancing growth-oriented technology holdings with businesses that generate consistent cash flows across economic cycles.

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Biggest Changes Last Quarter

Microsoft (MSFT)
Shares increased by 908,452 (+17.25%)

→ Microsoft was the largest addition among GMO’s major holdings, reinforcing the firm’s confidence in the company’s leadership across cloud computing, software, and AI infrastructure.

UnitedHealth Group (UNH)
Shares increased by 488,292 (+18.29%)

→ The sizable increase suggests growing conviction in the healthcare giant following recent weakness in the sector.

Visa (V)
Shares increased by 386,559 (+14.59%)

→ GMO continued building its position in one of the world’s leading payment networks.

Lam Research (LRCX)
Shares decreased by 2.44 million (-26.11%)

→ The firm substantially reduced its semiconductor equipment holding after strong performance in the sector.

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Full Exits Last Quarter Included

GMO fully exited positions in Comerica Incorporated, REV Group Inc., CyberArk Software Ltd., Exact Sciences Corporation, Civitas Resources Inc., and Molson Coors Beverage Company, among other smaller holdings.

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Summary

Jeremy Grantham’s latest filing reflects a portfolio built around high-quality businesses capable of compounding value over long periods. The most notable activity was the increased investment in Microsoft, UnitedHealth, and Visa, alongside a significant trim to Lam Research. Overall, the filing reinforces GMO’s preference for owning industry-leading franchises with durable competitive advantages and strong long-term earnings potential.