Berkshire Hathaway now Apple's third-largest shareholder after big Q1 investment [u]

Posted:
in AAPL Investors edited May 16
Berkshire Hathaway is now Apple's third-largest shareholder, financial mogul Warren Buffett has confirmed.

warren buffet berkshire hathaway


Revealed in a regulatory filing disclosing Berkshire Hathaway's U.S. stock holdings as of March 31, Reuters reports the Warren Buffett-controlled company owned 239.6 million shares in Apple. The total value of the shares possessed by Berkshire Hathaway is more than $40 billion, and represents a stake in Apple of around 5 percent.

During the quarter, Berkshire Hathaway used part of the $14.8 billion investment in equities for Apple stock. Earlier this month, Buffett revealed the company had acquired close to 75 million Apple shares in the first quarter, significantly bolstering its ownership position.

It is unclear who in Berkshire Hathaway performed the Apple stock purchase, as the filing does not reveal that information. It is believed Buffett himself makes the firm's larger stock purchases, while investment managers Todd Combs and Ted Weschler perform smaller deals.

The large share purchase is a continuation of previous activities by the investment firm to own more of Apple, a company that Buffett claims produces "sticky" products. Before the 75 million share purchase, a regulatory filing for the fourth quarter 2017 revealed Berkshire had increased its Apple stake by 23.3 percent, becoming its largest holding at the time.

Buffett has heaped praise on Apple in the past, calling it "an unbelievable company" that he believes earns "almost twice as much as the second most profitable company in the United States."

The "Oracle of Omaha" has also admitted to wanting to own even more of Apple, claiming "It was a company I liked, a business I liked, very much." Buffett also suggested Berkshire could easily invest in Apple more in the future, proclaiming "I'd like to own 100 percent of it."

At a shareholder meeting, Buffett praised Apple's recent share buyback plans, loving the idea "of having our 5 percent, or whatever it is, maybe grow to 6 or 7 percent without our laying out a dime." At the time, Buffett suggested more shares could be bought, if the price is right.

Update: Reuters apparently had erroneous data in its calculations on the matter. Apple remains in third place, behind BlackRock and Vanguard Group.
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Comments

  • Reply 1 of 32
    MacProMacPro Posts: 17,586member
    It took home a while to come around to my way of thinking. :)
    jasenj1radarthekat
  • Reply 2 of 32
    Hopefully, Buffett's purchases will provide some stability for Apple's share price for a year or so. The market sheep might consider owning Apple just because Buffett is in it. However, I suspect most market money will be going to the FANG stocks as they're always being touted as companies with unlimited growth, unlike Apple. What big investor wouldn't buy stocks that have consistent share gains and no headwinds like all the FANG stocks. If you have the money, always buy the stocks that are constantly being pumped. Plenty of big investors must have made a fortune from Tesla and that company seems to be a rolling financial wreck.
    h2p
  • Reply 3 of 32
    mubailimubaili Posts: 377member
    financial mogul? This is the first time I have read such a prefix attached to the beloved Warren Buffett. Please don’t use this.
    radarthekat
  • Reply 4 of 32
    nunzynunzy Posts: 662member
    Tim knows what Wall Street likes, and he delivers. Profits every quarter. Tim runs Apple like a giant multinational corporation, and he gets results. Big bucks, quarter in, quarter out.

    h2p
  • Reply 5 of 32
    radarthekatradarthekat Posts: 2,572moderator
    Hopefully, Buffett's purchases will provide some stability for Apple's share price for a year or so. The market sheep might consider owning Apple just because Buffett is in it. However, I suspect most market money will be going to the FANG stocks as they're always being touted as companies with unlimited growth, unlike Apple. What big investor wouldn't buy stocks that have consistent share gains and no headwinds like all the FANG stocks. If you have the money, always buy the stocks that are constantly being pumped. Plenty of big investors must have made a fortune from Tesla and that company seems to be a rolling financial wreck.
    Haven’t you heard?  It’s been FAANG for a while now.
  • Reply 6 of 32
    SpamSandwichSpamSandwich Posts: 29,906member
    Buffet sure missed out on the big gains starting in 2008 until today. He actually invested in a train transportation company and a Chinese electric car company before someone at Berkshire pointed out the most obvious play in tech. 
    radarthekath2p
  • Reply 7 of 32
    radarthekatradarthekat Posts: 2,572moderator
    “...after overtaking competing investors BlackRock.”

    Really?  They are in competition?  Are you sure about that?  
    SpamSandwich
  • Reply 8 of 32
    radarthekatradarthekat Posts: 2,572moderator
    Buffett will take Berkshire’s stake to 10%, you can be confident of that.  And he’ll likely get it there this year.  
  • Reply 9 of 32
    YP101YP101 Posts: 29member
    Buffet sure missed out on the big gains starting in 2008 until today. He actually invested in a train transportation company and a Chinese electric car company before someone at Berkshire pointed out the most obvious play in tech. 
    Buffet never liked tech compney to invest. Most big one was IBM and it failed. This invest is not really Buffet call I think. I think most likely one of his successor made this deal.
    Anyway one of his latest train transportation was good returned.

    His compnay bought Apple stock bring up around high $180 now. Later this year Apple buy back around $100 Billion will push to $200.
    I think most likely year late 2019 or 2020, APPL will be around $220-240.
  • Reply 10 of 32
    YP101 said:
    Buffet sure missed out on the big gains starting in 2008 until today. He actually invested in a train transportation company and a Chinese electric car company before someone at Berkshire pointed out the most obvious play in tech. 
    Buffet never liked tech compney to invest. Most big one was IBM and it failed. This invest is not really Buffet call I think. I think most likely one of his successor made this deal.
    Anyway one of his latest train transportation was good returned.

    His compnay bought Apple stock bring up around high $180 now. Later this year Apple buy back around $100 Billion will push to $200.
    I think most likely year late 2019 or 2020, APPL will be around $220-240.
    It could be argued that Apple isn't really a tech stock, it's consumer electronics (becoming consumer services). He never invested in tech, only because he didn't understand it. I'm sure he has a good grasp of Apple and it's potential, it's not enterprise software or DNA sequencing.
  • Reply 11 of 32
    MacProMacPro Posts: 17,586member
    Buffett will take Berkshire’s stake to 10%, you can be confident of that.  And he’ll likely get it there this year.  
    I may own a nice pile of AAPL and some Netflix but I know squat about the stock market workings.  Don't laugh but I have never quite understood how it works, for example how did Buffet buy that much, did people have to sell them before he could buy them?  There is a finite number available right (and getting less as Apple buy and retire them), so how does that work?
    edited May 16
  • Reply 12 of 32
    SpamSandwichSpamSandwich Posts: 29,906member
    MacPro said:
    Buffett will take Berkshire’s stake to 10%, you can be confident of that.  And he’ll likely get it there this year.  
    I may own a nice pile of AAPL and some Netflix but I know squat about the stock market workings.  Don't laugh but I have never quite understood how it works, for example how did Buffet buy that much, did people have to sell them before he could buy them?  There is a finite number available right (and getting less as Apple buy and retire them), so how does that work?
    Did someone give you stock? Because unless you’re given stock you’d know that stocks are typically (but not always) bought and sold on an exchange through a stock broker.
  • Reply 13 of 32
    MacProMacPro Posts: 17,586member
    MacPro said:
    Buffett will take Berkshire’s stake to 10%, you can be confident of that.  And he’ll likely get it there this year.  
    I may own a nice pile of AAPL and some Netflix but I know squat about the stock market workings.  Don't laugh but I have never quite understood how it works, for example how did Buffet buy that much, did people have to sell them before he could buy them?  There is a finite number available right (and getting less as Apple buy and retire them), so how does that work?
    Did someone give you stock? Because unless you’re given stock you’d know that stocks are typically (but not always) bought and sold on an exchange through a stock broker.
    I wish.  No, lol I bought it myself, several hundred thousand $'s worth, mostly  back at $7-12 a share pre-split, using our online accounts, much of it IRA some liquid.  You are missing the meaning of my question and obvious lack of understanding. OK I'll try again ...  If there is an finite number of shares and all are owned how are any available for purchase? That is the question, to which I am sure there is a simple explanation.
    edited May 16
  • Reply 14 of 32
    SpamSandwichSpamSandwich Posts: 29,906member
    MacPro said:
    MacPro said:
    Buffett will take Berkshire’s stake to 10%, you can be confident of that.  And he’ll likely get it there this year.  
    I may own a nice pile of AAPL and some Netflix but I know squat about the stock market workings.  Don't laugh but I have never quite understood how it works, for example how did Buffet buy that much, did people have to sell them before he could buy them?  There is a finite number available right (and getting less as Apple buy and retire them), so how does that work?
    Did someone give you stock? Because unless you’re given stock you’d know that stocks are typically (but not always) bought and sold on an exchange through a stock broker.
    I wish.  No, lol I bought it myself, several hundred thousand $'s worth, mostly  back at $7-12 a share pre-split, using our online accounts, much of it IRA some liquid.  You are missing the meaning of my question and obvious lack of understanding. OK I'll try again ...  If there is an finite number of shares and all are owned how are any available for purchase? That is the question, to which I am sure there is a simple explanation.
    OK. There are not an infinite number of shares. If that was the case, those shares would be inherently worthless. It's because there are a limited number of shares that they can gain value.

    Here's something people may not know: When you start a corporation, the number of shares you have is completely up to you, however the value of your assets is divided by the number of those shares.
    edited May 16
  • Reply 15 of 32
    MacProMacPro Posts: 17,586member
    MacPro said:
    MacPro said:
    Buffett will take Berkshire’s stake to 10%, you can be confident of that.  And he’ll likely get it there this year.  
    I may own a nice pile of AAPL and some Netflix but I know squat about the stock market workings.  Don't laugh but I have never quite understood how it works, for example how did Buffet buy that much, did people have to sell them before he could buy them?  There is a finite number available right (and getting less as Apple buy and retire them), so how does that work?
    Did someone give you stock? Because unless you’re given stock you’d know that stocks are typically (but not always) bought and sold on an exchange through a stock broker.
    I wish.  No, lol I bought it myself, several hundred thousand $'s worth, mostly  back at $7-12 a share pre-split, using our online accounts, much of it IRA some liquid.  You are missing the meaning of my question and obvious lack of understanding. OK I'll try again ...  If there is an finite number of shares and all are owned how are any available for purchase? That is the question, to which I am sure there is a simple explanation.
    OK. There is not an infinite number of shares. If that were the case, they'd be inherently worthless. There are a limited number of shares. Here's something people may not know: When you start a corporation, the number of shares you have is completely up to you, however the value of your assets is divided by the number of those shares.
     I said finite not infinite!  Although I accidentally said 'an'  ... which probably triggered your misread.  I have started several limited liability companies, several were large Apple dealerships,  so I am aware of how that works.
    edited May 16
  • Reply 16 of 32
    SpamSandwichSpamSandwich Posts: 29,906member
    MacPro said:
    MacPro said:
    MacPro said:
    Buffett will take Berkshire’s stake to 10%, you can be confident of that.  And he’ll likely get it there this year.  
    I may own a nice pile of AAPL and some Netflix but I know squat about the stock market workings.  Don't laugh but I have never quite understood how it works, for example how did Buffet buy that much, did people have to sell them before he could buy them?  There is a finite number available right (and getting less as Apple buy and retire them), so how does that work?
    Did someone give you stock? Because unless you’re given stock you’d know that stocks are typically (but not always) bought and sold on an exchange through a stock broker.
    I wish.  No, lol I bought it myself, several hundred thousand $'s worth, mostly  back at $7-12 a share pre-split, using our online accounts, much of it IRA some liquid.  You are missing the meaning of my question and obvious lack of understanding. OK I'll try again ...  If there is an finite number of shares and all are owned how are any available for purchase? That is the question, to which I am sure there is a simple explanation.
    OK. There is not an infinite number of shares. If that were the case, they'd be inherently worthless. There are a limited number of shares. Here's something people may not know: When you start a corporation, the number of shares you have is completely up to you, however the value of your assets is divided by the number of those shares.
     I said finite not infinite!  Although I accidentally said 'an'  ... which probably triggered your misread.
    Yes, that's exactly what happened. :smile: 
  • Reply 17 of 32
    MacProMacPro Posts: 17,586member
    MacPro said:
    MacPro said:
    MacPro said:
    Buffett will take Berkshire’s stake to 10%, you can be confident of that.  And he’ll likely get it there this year.  
    I may own a nice pile of AAPL and some Netflix but I know squat about the stock market workings.  Don't laugh but I have never quite understood how it works, for example how did Buffet buy that much, did people have to sell them before he could buy them?  There is a finite number available right (and getting less as Apple buy and retire them), so how does that work?
    Did someone give you stock? Because unless you’re given stock you’d know that stocks are typically (but not always) bought and sold on an exchange through a stock broker.
    I wish.  No, lol I bought it myself, several hundred thousand $'s worth, mostly  back at $7-12 a share pre-split, using our online accounts, much of it IRA some liquid.  You are missing the meaning of my question and obvious lack of understanding. OK I'll try again ...  If there is an finite number of shares and all are owned how are any available for purchase? That is the question, to which I am sure there is a simple explanation.
    OK. There is not an infinite number of shares. If that were the case, they'd be inherently worthless. There are a limited number of shares. Here's something people may not know: When you start a corporation, the number of shares you have is completely up to you, however the value of your assets is divided by the number of those shares.
     I said finite not infinite!  Although I accidentally said 'an'  ... which probably triggered your misread.
    Yes, that's exactly what happened. :smile: 
    Well I did say 'a finite' in the initial question.  Soooo...  ? What's the answer? :)

    edited May 16
  • Reply 18 of 32
    SpamSandwichSpamSandwich Posts: 29,906member
    MacPro said:
    MacPro said:
    MacPro said:
    MacPro said:
    Buffett will take Berkshire’s stake to 10%, you can be confident of that.  And he’ll likely get it there this year.  
    I may own a nice pile of AAPL and some Netflix but I know squat about the stock market workings.  Don't laugh but I have never quite understood how it works, for example how did Buffet buy that much, did people have to sell them before he could buy them?  There is a finite number available right (and getting less as Apple buy and retire them), so how does that work?
    Did someone give you stock? Because unless you’re given stock you’d know that stocks are typically (but not always) bought and sold on an exchange through a stock broker.
    I wish.  No, lol I bought it myself, several hundred thousand $'s worth, mostly  back at $7-12 a share pre-split, using our online accounts, much of it IRA some liquid.  You are missing the meaning of my question and obvious lack of understanding. OK I'll try again ...  If there is an finite number of shares and all are owned how are any available for purchase? That is the question, to which I am sure there is a simple explanation.
    OK. There is not an infinite number of shares. If that were the case, they'd be inherently worthless. There are a limited number of shares. Here's something people may not know: When you start a corporation, the number of shares you have is completely up to you, however the value of your assets is divided by the number of those shares.
     I said finite not infinite!  Although I accidentally said 'an'  ... which probably triggered your misread.
    Yes, that's exactly what happened. :smile: 
    Well I did say 'a finite' in the initial question.  Soooo...  ? What's the answer? :)

    I guess your question is still vague. There are a finite number of shares, but shares are constantly being bought and sold, so they change hands in order to realize a profit or loss. Is this what you're asking?
    edited May 16
  • Reply 19 of 32
    carnegiecarnegie Posts: 401member
    MacPro said:
    MacPro said:
    Buffett will take Berkshire’s stake to 10%, you can be confident of that.  And he’ll likely get it there this year.  
    I may own a nice pile of AAPL and some Netflix but I know squat about the stock market workings.  Don't laugh but I have never quite understood how it works, for example how did Buffet buy that much, did people have to sell them before he could buy them?  There is a finite number available right (and getting less as Apple buy and retire them), so how does that work?
    Did someone give you stock? Because unless you’re given stock you’d know that stocks are typically (but not always) bought and sold on an exchange through a stock broker.
    I wish.  No, lol I bought it myself, several hundred thousand $'s worth, mostly  back at $7-12 a share pre-split, using our online accounts, much of it IRA some liquid.  You are missing the meaning of my question and obvious lack of understanding. OK I'll try again ...  If there is an finite number of shares and all are owned how are any available for purchase? That is the question, to which I am sure there is a simple explanation.
    When you buys shares of a company, other than through a public offering from the company itself, you are buying them from other people (or, e.g., institutions). People buy shares, in part, with the hope of being able to sell them to someone else at a higher price some day.

    That's what happens with exchanges, e.g. the NYSE. People who own shares are trying to sell them and others are trying to buy them. It typically isn't the company doing either, though sometimes a company is among those trying to buy its shares. There are a little less than 5 billion AAPL shares outstanding, and that number has been generally shrinking over the last few years. But on a typical day, 20 to 40 million shares of AAPL get sold from one person (or entity of some form) to another.
  • Reply 20 of 32
    MacProMacPro Posts: 17,586member
    carnegie said:
    MacPro said:
    MacPro said:
    Buffett will take Berkshire’s stake to 10%, you can be confident of that.  And he’ll likely get it there this year.  
    I may own a nice pile of AAPL and some Netflix but I know squat about the stock market workings.  Don't laugh but I have never quite understood how it works, for example how did Buffet buy that much, did people have to sell them before he could buy them?  There is a finite number available right (and getting less as Apple buy and retire them), so how does that work?
    Did someone give you stock? Because unless you’re given stock you’d know that stocks are typically (but not always) bought and sold on an exchange through a stock broker.
    I wish.  No, lol I bought it myself, several hundred thousand $'s worth, mostly  back at $7-12 a share pre-split, using our online accounts, much of it IRA some liquid.  You are missing the meaning of my question and obvious lack of understanding. OK I'll try again ...  If there is an finite number of shares and all are owned how are any available for purchase? That is the question, to which I am sure there is a simple explanation.
    When you buys shares of a company, other than through a public offering from the company itself, you are buying them from other people (or, e.g., institutions). People buy shares, in part, with the hope of being able to sell them to someone else at a higher price some day.

    That's what happens with exchanges, e.g. the NYSE. People who own shares are trying to sell them and others are trying to buy them. It typically isn't the company doing either, though sometimes a company is among those trying to buy its shares. There are a little less than 5 billion AAPL shares outstanding, and that number has been generally shrinking over the last few years. But on a typical day, 20 to 40 million shares of AAPL get sold from one person (or entity of some form) to another.
    Thanks for an intelligent answer.   That's exactly how I understood it.  So when a buyer such as Buffet comes along there is only so many shares for sale at any given time right?
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