Buffett’s Apple Stake Earns $40 billion since March

Buffett’s best-ever trade may be his move into tech giant Apple, which earned Berkshire Hathaway $40 billion since the market bottomed in March. This according to a recent article in CNBC. “Berkshire Hathaway’s Apple stake—which has claimed 40% of its equity portfolio—is up a whopping $40 billion since the market bottom in March,” the article reports, adding, “The investment in the tech giant played a crucial role in helping the conglomerate weather the coronavirus crisis… Read More

Nearly Half of Berkshire Portfolio in a Single Stock

Berkshire Hathaway chairman Warren Buffett, who for decades avoided tech stocks, has steered his firm heavily into the industry with 43% of the firm’s portfolio now represented by Apple stock ($91 billion). This according to a recent article in MarketWatch. While the heavy tech weighting runs counter to a diversified approach, the article notes that Buffett once described diversification as “protection against ignorance, “ and a strategy that “makes little sense if you know what… Read More

Buffett’s Berkshire buys Dominion Energy

In its first major acquisition since the coronavirus pandemic struck, Berkshire Hathaway has agreed to purchase natural gas transmission and storage assets of Dominion Energy for $4 billion, according to an article in CNBC. Including the assumption of debt, the article reports, the deal totals almost $10 billion: “For Dominion, the move is part of its transition to a pure-play regulated utility company that focuses on clean energy production from wind, solar, and natural gas.”… Read More

The Pandemic Impact on Berkshire Hathaway

A recent Morningstar article offers insights from senior analyst Gregg Warren regarding the impact the pandemic will have on Berkshire Hathaway. Here are some highlights of Warren’s comments: It is difficult to predict the impact given that Berkshire is “not really the most transparent of firms when it comes to its operating subsidiaries.” Morningstar foresees that the company will be impacted in three ways: The low interest rate environment “opens up refinancing funding opportunities” but… Read More

A Look at Warren Buffett’s Portfolio Might Make You Feel Better

“If you stick around long enough, you’ll see everything in markets,” said Warren Buffett earlier this month in an interview with Yahoo Finance. This according to a recent article in MarketWatch. And conditions have only gotten worse since then, the article reports, noting that the stock market “continues to spin out of control in both directions.” Although Buffett’s Berkshire Hathaway is sitting on a pile of cash that “has him prepared to pick up the… Read More

Buffett Likes U.S. Banks

Warren Buffett’s Berkshire Hathaway has increased its holding of financial services stocks to roughly $100 billion, about one-fifth of its total market capitalization. This according to an article inThe Wall Street Journal. “Berkshire’s position has built up over years and includes banks, payment companies, insurers and a ratings firm,” the article reports, with total holdings increasing from its 2010 level of 12% of market capitalization. It adds, “banks are often viewed as a proxy for… Read More

Buffett now Largest Shareholder in Bank of America

Now that Bank of America got the Fed’s green light to up its dividend to 48 cents a share (a 60% hike), Berkshire Hathaway has decided to exchange its preferred shares in the bank to roughly $17 billion in common stock, according to last week’s Wall Street Journal. The move will render Berkshire the largest shareholder (7%) of the bank—the country’s second largest in terms of assets—passing Vanguard, which now owns 6.6% (data from FactSet).… Read More