Q3 Earnings Alert! Plan early for this week’s stock reports with all key data in 1 placeSee list

Berkshire Hathaway sells Bank of America shares worth $982m

Published 2024/08/28, 14:54
© Reuters
CVX
-
BAC
-
AAPL
-
BRKb
-
HEI
-
ULTA
-
SNOW
-

Warren Buffett’s Berkshire Hathaway (NYSE:BRKa) has sold an additional $982 million worth of Bank of America (BofA) stock, continuing to reduce its stake in the bank.

Since mid-July, Berkshire has decreased its holdings in Bank of America Corp (NYSE:BAC) by nearly 13%, generating $5.4 billion from the sales. The latest transactions, revealed in a regulatory filing on Tuesday, detail sales that occurred on August 23, 26, and 27.

Despite the reduction, Berkshire Hathaway B (NYSE:BRKb) remains the largest shareholder of the bank, holding 903.8 million shares valued at $35.9 billion based on Tuesday's closing price.

BofA’s shares slipped 0.6% In premarket trading Wednesday. The stock advanced more than 17% this year, in line with the broader market’s performance.

Warren Buffett, one of the most respected investors globally, began his investment in Bank of America in 2011 by purchasing $5 billion in preferred stock. At the time, some investors were concerned about the bank's capital requirements.

This series of sales marks Buffett’s most significant reduction in a long-standing investment that has been seen as a strong endorsement of Bank of America’s leadership under CEO Brian Moynihan, whom Buffett has publicly praised on several occasions.

"I like Brian Moynihan enormously," Buffett told CNBC last year. "I don't wanna sell it."

Recent securities filings revealed that Berkshire made several adjustments in its portfolio during the second quarter.

The conglomerate purchased stakes in Ulta Beauty (NASDAQ:ULTA) and Heico Corporation (NYSE:HEI) while reducing its holdings in Apple (NASDAQ:AAPL) and Chevron (NYSE:CVX) during the same period.

Meanwhile, Berkshire also fully exited its positions in some companies, including Snowflake (NYSE:SNOW).

It also reduced holdings in Capital One Financial Corporation (NYSE:COF), Floor & Decor Holdings Inc (NYSE:FND), and T-Mobile US Inc (NASDAQ:TMUS), while adding to stakes in Occidental Petroleum (NYSE:OXY) and Chubb (NYSE:CB).

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.