Warren Buffett's Berkshire Hathaway cuts Apple stock by half, increases cash reserve significantly

From CNBC: 2024-08-08 09:15:00

Warren Buffett’s investment company, Berkshire Hathaway, has significantly reduced its massive Apple stock position by nearly 50%, dropping the market value from over $173 billion to slightly more than $84 billion. This move is part of a larger strategy to sell off stocks, increasing Berkshire’s cash pile to nearly $277 billion.

Berkshire’s portfolio restructuring also included selling over $3.8 billion worth of Bank of America stock, reducing its stake in the bank to around 12%. Total market value of equity holdings decreased from nearly $354 billion at the end of 2023 to less than $285 billion by June 2024.

Some speculate that Buffett’s recent sales indicate a defensive move amidst economic uncertainty, while others view it as a portfolio adjustment. Despite the sell-offs, Berkshire still holds a significant position in Apple, indicating cautious optimism in the tech giant’s continued profitability and potential for growth.

Investors considering Apple stock should note that while Berkshire has reduced its position, the company remains profitable and is expected to continue growing, particularly in the services sector. The Motley Fool Stock Advisor team has identified 10 other stocks with significant potential for high returns, providing a blueprint for successful investing.



Read more at CNBC: Warren Buffett’s Berkshire Hathaway Just Dumped Half Its Stake in Apple Stock. What Investors Need to Know