Berkshire takes huge bite of Apple, boosts airline stakes
- Author: Terrell Bush Feb 17, 2017,
Feb 17, 2017, 0:06
As of December 31, the firm held more than more than 57.3 million shares of Apple (AAPL) worth more than $6.5 billion.
Besides investing in airlines and Apple shares, the company also took stakes in Sirius XM Holdings Inc., which is a satellite radio company and Monsanto Co., which is bought by Germany's Bayer AG.
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. On investment in airlines stocks, Buffett told in an interview to Charlie Rose last month that it was primarily his decision.
Warren Buffett is ultra-bullish on Apple Inc.
Thomas Russo who is responsible for $11 billion of assets, which includes 12 percent in Berkshire said, "I'm stunned to see the size of that Apple position". Apart from IBM, a stock Buffett followed for more than 50 years before finally buying in 2011, he had shown little interest in technology stocks.
The company reported as well a stake of $9.3 billion in airlines, with investment exceeding $2.1 billion in each of Delta Air Lines, American Airlines, United Continental and Southwest Airlines. Buffett, who is not so bullish on technology companies, is now the second richest person in the world, with a net worth of about $74.9 billion, according to Forbes' estimate. Over both phases, the bank provided $2.2 billion as investor and lender, which will transform almost 3,500 public housing units at 29 properties into safe and sustainable low-income housing for more than 10,000 San Francisco residents.
Larger Berkshire investments such as Wells Fargo & Co, Coca-Cola Co and International Business Machines Corp are normally Buffett's, but the 86-year-old billionaire has given his deputies Todd Combs and Ted Weschler more to invest over the years. We believe this to be only partially true. Your number one source for breaking news and evergreen content on everything value investing and hedge funds.