From Nasdaq: 2024-05-12 05:30:00

Investors gathered for Berkshire Hathaway’s annual meeting in Omaha, where Warren Buffett revealed he trimmed his Apple position due to tax concerns. With over $100 billion still in Apple stock, Buffett cited worries about potential tax hikes impacting Apple’s earnings. The stock’s high valuation and stagnant revenue growth likely contributed to his decision.

Apple announced a $110 billion buyback plan, boosting its stock after declining revenue in Q1. Despite this, Buffett’s decision to trim Apple from his portfolio is strategic, given its composition in his equity holdings. Investors with large Apple positions may consider diversifying, as the stock trades at close to 30 times earnings with revenue on the decline.

Stock Advisor recommends 10 alternative stocks for investors to buy, excluding Apple. Past picks like Nvidia show potential for significant returns. With guidance on building a successful portfolio, the service has outperformed the S&P 500 since 2002. Investors may want to consider alternative opportunities to maximize growth potential and diversify their holdings.



Read more at Nasdaq: Warren Buffett Has Trimmed 13% of His Apple Stock. Should You?