Warren Buffett's Berkshire Hathaway increases Apple stake by 23.3 percent, now its largest...
Legendary investor Warren Buffett's Berkshire Hathaway continued to bet big on Apple over the fourth quarter 2017, raising its stake in the tech giant by 23.3 percent to hit 165.3 million shares, according to a Securities and Exchange Commission filing.
Alongside the boosted stake in Apple, Berkshire Hathaway dumped 94.5 percent of its IBM holdings over the three months ending 2017, reports CNBC.
If the fund still owns its recently reported Apple holdings, the 165.3 million shares are worth about $27.7 billion at the end of trading on Wednesday.
Buffett has steadily increased his stake in Apple after taking a first bite in 2016 worth $1 billion. At the end of that year, Berkshire's position moved up to 57.4 million shares worth some $6.64 billion, but that figure quickly jumped to 133 million shares worth $17 billion as of last February.
Though Buffett initially shied away from tech sector stocks, mostly due to inherent volatility, the Oracle of Omaha has modified his investing pattern to accommodate certain big-name players including Apple and IBM. The latter has failed to impress, however, as seen by Berkshire's recently diminished position.
The investor has lauded Apple's "sticky" product offering and zealous customer base, noting a device like iPhone is a "valuable product to people that build their lives around."
"I can very easily determine the competitive position of Apple now and who's trying to chase them and how easy it is to chase them," Buffett said in an interview last year.
Alongside the boosted stake in Apple, Berkshire Hathaway dumped 94.5 percent of its IBM holdings over the three months ending 2017, reports CNBC.
If the fund still owns its recently reported Apple holdings, the 165.3 million shares are worth about $27.7 billion at the end of trading on Wednesday.
Buffett has steadily increased his stake in Apple after taking a first bite in 2016 worth $1 billion. At the end of that year, Berkshire's position moved up to 57.4 million shares worth some $6.64 billion, but that figure quickly jumped to 133 million shares worth $17 billion as of last February.
Though Buffett initially shied away from tech sector stocks, mostly due to inherent volatility, the Oracle of Omaha has modified his investing pattern to accommodate certain big-name players including Apple and IBM. The latter has failed to impress, however, as seen by Berkshire's recently diminished position.
The investor has lauded Apple's "sticky" product offering and zealous customer base, noting a device like iPhone is a "valuable product to people that build their lives around."
"I can very easily determine the competitive position of Apple now and who's trying to chase them and how easy it is to chase them," Buffett said in an interview last year.
Comments
If if you are only selling tech, well what will happen when the next tech comes along.
7500 AAPL shares? WOW.
Now you'll need to stand in line
People used to dismiss AAPL with "it's too high, no more room". Well, my oldest shares have a basis (adjusted) of 3, and many between 10 and 20. It has been just that good. And I think that NVDA will do likewise. Time will tell.
I think Apple’s valuation is ludicrous. Buy. Hold. Forget about it.
WTF do you think the client is buying? It's not a set of specs. So, again they're not selling tech.
The whole "it just works" and "enriching people's life in a transparent way" is what they're selling.
The tech fades away and you are left with just what it does. WHAT IT DOES FOR PEOPLE IS WHAT THEY"RE SELLING.
Apple has the 'Eace of Use' thing pretty well sewn up especially when compared to MS etc.
After fighting the Windows madness and mess (I called it the Windows 'madmess') in my day job I couldn't face it at home.
By making it easy for people to use they create a uniqueness that keeps people buying their stuff.
Easy to use things are just one of the aspects of Apple tech that make the company what it is.