As Apple stock continues to perform well, a United States Securities and Exchange Commission filing today revealed that Berkshire Hathaway has more than tripled its stake in Apple over the last three months. Berkshire Hathaway is, of course, the holding company operated by investor Warren Buffet that has been skeptical of AAPL in the past.
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According to the SEC filing, first noted by Reuters, Berkshire Hathaway increased its holdings in AAPL from 15.2 million shares to 57.4 million shares during the fourth quarter of 2016. This additional purchased raised the value of Berkshire’s stake in Apple from around $1.7 billion to $6.64 billion in December.
Now, with AAPL trading near the $135 mark at the close of business today, Berkshire’s AAPL stock is worth some $7.74 billion if it still holds the stock.
In addition to the increase in AAPL holdings, Berkshire Hathaway also cut its stake in Verizon significantly, down from 15 million shares to 928 shares. Berkshire also cut its Walmart holdings by 89.3 percent, dissolved its share stake in Now Inc, and increased its holdings of Delta Air Lines to 60 million shares from 6.3 million.
Buffet’s continued increase in AAPL stock is notable as prior to last May, Berkshire held few AAPL shares. Last May, the conglomerate purchased around 9.8 million shares in the company, worth a total of $1.069 billion at the time of purchase.
Buffet has been a skeptic of AAPL for a while, explaining in 2011 that, in terms of AAPL shares, Berkshire “held very few in the past and we’re likely to hold very few in the future” due to how difficult it was to predict Appel’s long-term prospects. Nevertheless, Buffet seems to have move past that thinking if recent investments are any indication.
Earlier today, AAPL hit a new all-time high stock price of $134.67, which continued to climb. Yesterday, we noted that the stock opened at all-time record high of $133 thanks to Goldman Sachs raising its target price.
News of Berkshire’s increase will likely continue to push the stock up.