Dodge & Cox Portfolio in 2026: Top Holdings & Recent Changes
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Dodge & Cox, the venerable value investing firm with over nine decades of history, showcases its disciplined approach in the latest 13F filing. Their $185.3B Q4'2025 portfolio reflects a classic value strategy amid market highs, with notable reductions across top holdings and selective adds signaling profit-taking and opportunistic positioning in a diversified 222-position lineup.
Portfolio Overview: Patient Value Discipline in Action
Portfolio Highlights (Q4'2025): - Market Value: $185.3B - Top 10 Holdings: 27.2% - Portfolio Size: 222 +2 - Average Holding Period: 42 quarters - Turnover: 7.2%
Dodge & Cox's portfolio maintains its hallmark diversification across 222 positions, a scale that balances risk while hunting for undervalued opportunities—a stark contrast to more concentrated superinvestors. The low 7.2% turnover underscores their long-term conviction, with an extraordinary average holding period of 42 quarters (over 10 years), reflecting a buy-and-hold philosophy rooted in fundamental analysis rather than market timing. This quarter's modest expansion by two positions suggests ongoing opportunity discovery without chasing fads.
The top 10 holdings commanding just 27.2% of the portfolio exemplifies prudent diversification, allowing the firm to weather sector rotations while maintaining meaningful stakes in high-conviction names. Access the full details on their Dodge & Cox portfolio page at ValueSense, where you can track historical changes and visualizations. This structure suits patient investors seeking steady compounding over speculative bets.
In a market dominated by growth narratives, Dodge & Cox's approach prioritizes quality businesses at reasonable prices, evident in their selective adjustments amid 2025's volatility. Their $185.3B portfolio demonstrates resilience, with low turnover enabling focus on intrinsic value over short-term noise.
Top Holdings: Reductions Dominate with Selective Adds
Dodge & Cox's top positions reveal a portfolio heavily tilted toward financials, industrials, healthcare, and tech, with widespread reductions signaling valuation discipline. Leading the pack is The Charles Schwab Corp. at 4.1% after a Reduce 7.86% trim, followed closely by Johnson Controls International plc (JCI) (3.9%, Reduce 5.96%) and RTX Corp. (3.7%, Reduce 6.30%), reflecting caution in cyclical sectors.
Further down, CVS Health Corporation (CVS) holds 2.7% despite a sharp Reduce 14.58%, while FedEx Corporation (FDX) (2.4%, Reduce 3.96%) and MetLife, Inc. (2.2%, Reduce 2.62%) show similar profit-taking. Alphabet Inc. (GOOG) at 2.2% was cut by 7.98%, and Microsoft Corporation (MSFT) (1.9%, Reduce 5.47%) faced a 5.47% reduction, indicating trims in mega-cap tech as valuations stretched.
Bright spots include Booking Holdings Inc. (BKNG) (2.1%, Add 8.44%), a notable increase betting on travel recovery, and Regeneron Pharmaceuticals, Inc. (1.9%, Add 1.00%), signaling healthcare conviction. These 10 positions, all featuring changes, anchor a broader strategy of tweaking rather than overhauling, with the firm's scale allowing precision across its 222 holdings.
What the Portfolio Reveals
Dodge & Cox's Q4 moves paint a picture of disciplined value investing in an overvalued market:
- Quality cyclicals over pure growth: Heavy exposure to financials like Charles Schwab and MetLife, plus industrials like RTX and FedEx, favors resilient businesses with strong balance sheets poised for economic normalization.
- Sector rotation signals: Reductions in healthcare (CVS) and tech (GOOG, MSFT) suggest profit-taking at peaks, while adds in BKNG (consumer discretionary) and Regeneron (biotech) target undervalued recovery plays.
- Risk management via diversification: At 27.2% in top 10 across 222 positions, the portfolio mitigates single-name risk while maintaining meaningful stakes.
- Long-term dividend focus: Holdings like CVS and MetLife emphasize cash-generating firms, aligning with the 42-quarter hold period for compounding returns.
This thematic tilt underscores a bearish near-term stance on frothy sectors, pivoting toward pockets of value.
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Portfolio Concentration Analysis
| Position | Value | % of Portfolio | Recent Change |
|---|---|---|---|
| The Charles Schwab Corp. | $7,644.5M | 4.1% | Reduce 7.86% |
| Johnson Controls International plc | $7,230.9M | 3.9% | Reduce 5.96% |
| RTX Corp. | $6,890.7M | 3.7% | Reduce 6.30% |
| CVS Health Corporation | $4,960.8M | 2.7% | Reduce 14.58% |
| FedEx Corporation | $4,501.1M | 2.4% | Reduce 3.96% |
| MetLife, Inc. | $4,124.8M | 2.2% | Reduce 2.62% |
| Alphabet Inc. | $4,040.4M | 2.2% | Reduce 7.98% |
| Booking Holdings Inc. | $3,920.5M | 2.1% | Add 8.44% |
| Microsoft Corporation | $3,599.0M | 1.9% | Reduce 5.47% |
| Regeneron Pharmaceuticals, Inc. | $3,547.8M | 1.9% | Add 1.00% |
This table highlights Dodge & Cox's measured concentration, with no single position exceeding 4.1% and the top 10 totaling 27.2%—a diversified anchor for their massive $185.3B book. The predominance of "Reduce" actions (8 out of 10) across financials, industrials, healthcare, and tech reflects systematic profit-taking, likely as these names approached fair value after 2025 rallies. Selective adds like BKNG +8.44% and Regeneron +1.00% demonstrate opportunistic buying in beaten-down areas, balancing the trims while keeping turnover low at 7.2%.
Such positioning prioritizes capital preservation, reallocating from winners to undervalued names without disrupting the core strategy. For followers, it signals confidence in the remaining stakes' long-term potential amid portfolio growth to 222 positions.
Investment Lessons from Dodge & Cox
Dodge & Cox's Q4 portfolio exemplifies timeless value principles:
- Patience compounds wealth: A 42-quarter average hold rewards enduring volatility for fundamental improvements, far outpacing active trading.
- Trim winners, don't chase: Systematic reductions (e.g., CVS -14.58%, GOOG -7.98%) lock in gains when valuations normalize, freeing capital for better ideas.
- Diversify thoughtfully: 222 positions with top 10 at 27.2% spread risk while allowing conviction sizing, ideal for institutional-scale value hunting.
- Selective conviction pays: Adds like BKNG +8.44% show discipline—boosting undervalued sectors without overhauling the portfolio.
- Low turnover builds edge: 7.2% activity minimizes taxes and transaction costs, focusing energy on research over reaction.
Looking Ahead: What Comes Next?
Dodge & Cox enters 2026 with a fortified value stance, positioned for rate cuts boosting financials like Charles Schwab and industrials like RTX, while healthcare adds like Regeneron hedge biotech rebounds. The low 7.2% turnover and +2 positions suggest ample dry powder for deployments in cyclicals if valuations correct post-2025 highs. Market volatility from elections or slowdowns could spur opportunistic buys in travel (BKNG) or pharma.
Current trims set up redeployment into overlooked value traps, with the 42-quarter hold horizon eyeing multi-year compounding. Track evolving moves on their ValueSense portfolio tracker for real-time 13F insights.
FAQ about Dodge & Cox Portfolio
Q: What were the biggest changes in Dodge & Cox's Q4 2025 13F filing?
A: Notable reductions included CVS Health (Reduce 14.58%), Charles Schwab (Reduce 7.86%), Alphabet (Reduce 7.98%), and RTX (Reduce 6.30%), alongside adds in Booking Holdings (Add 8.44%) and Regeneron (Add 1.00%), reflecting profit-taking and selective buying.
Q: Why is Dodge & Cox's portfolio so diversified compared to other superinvestors?
A: With 222 positions and top 10 at just 27.2%, their strategy emphasizes risk control and broad value exposure, allowing long-term holds (42 quarters average) across sectors without over-reliance on few names.
Q: What sectors does Dodge & Cox favor in this portfolio?
A: Financials (Charles Schwab, MetLife), industrials (RTX, FedEx, JCI), healthcare (CVS, Regeneron), and tech (GOOG, MSFT, BKNG) dominate, with trims signaling caution in overvalued areas.
Q: How can I track and follow Dodge & Cox's portfolio?
A: Use ValueSense's superinvestor tracker at https://valuesense.io/superinvestors/dodge-cox for 13F filings, change alerts, and visualizations. Note the 45-day reporting lag means positions may shift post-filing—ideal for idea generation, not real-time copying.
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