Warren Buffett, the CEO of Berkshire Hathaway has revealed that the company has bought more shares of Apple. The company added 75 million shares in the first quarter of 2018 pushing its gross shareholding in Apple to 240 million shares. Berkshire Hathaway now owns 5% of Apple. Apple now tops the list of Berkshire’s public stockholdings after surpassing Wells Fargo which has held this position for years. The decision to buy Apple shares started in 2017 when the company added $20 billion in shareholding.
When Warren Buffett invested in Apple, the share value went up significantly, by a record 7% to reach $181.83. The share value continues to go up as Warren Buffett continues to take actions which exude confidence in the future of the company.
The decision to invest in Apple came as a surprise to followers of the Billionaire. Warren Buffett does not invest in technology. He says that he does not understand the technology sector and would therefore not be fit to invest in it. He is also wary of the technology sector as one which cannot keep off competition for a long time. It remains unclear why he decided to buy this stock, but speculation is rife that he might have been influenced by his portfolio partners Todd Combs and Ted Wechsler.
Warren Buffett added Apple to his portfolio for the first time in 2016. In a span of two years, he has invested massively in the company raising hopes that Apple could see serious growth for many years to come. Warren Buffett is known to make long-term investments, and therefore his decision to buy Apple stocks comes as good news to investors in this tech company.
Warren Buffett stock Holdings are in other companies such as Wells Fargo, Coca-Cola, Bank of America, Philips 66 among many others.