The billion dollar AAPL investment Warren Buffett’s conglomerate Berkshire Hathaway disclosed in an SEC filing a fortnight ago seems to have gone a long way toward restoring investor confidence. Fortune reports that the stock has climbed 9% since the disclosure, taking it back above the $100 mark.
Buffett tends to have that effect on stocks—for example, when the company disclosed a stake in Kinder Morgan in February, shares shot up 11%. Apple’s rise in the past few weeks is no doubt partially the cause of Berkshire Hathaway’s disclosure.
AAPL’s share price dropped sharply after the company’s Q2 earnings report revealing a substantial year-on-year fall in iPhone sales. Sales of 51.1M iPhones were 18% lower than the 61.1M sold in the same quarter the previous year …
Berkshire’s investment may have been seen as particularly significant given that Buffett had been a long-time AAPL skeptic, especially occurring not long after fellow billionaire investor Carl Icahn said that he was totally out of the stock.
A supply-chain report that Apple had ordered production of somewhere in the range of 72M to 78M iPhone 7 units is also likely to have helped the stock continue to climb. An earlier report had suggested that iPhone sales could fall even further as the iPhone 7 lacked any appealing new features.