Warren Buffett. Photo: :Nati Harnik/AP
Warren Buffett, the legendary investor and founder of Berkshire Hathaway, now owns an equal number of shares in two of his most famous companies, Apple and Coca-Cola. After Buffett significantly reduced his stake in the iPhone maker, his portfolio now includes 400 million shares of both companies. This is reported by CNBC.
This interesting detail became known after the regulatory document “13-F” was published, which revealed the assets of Berkshire Hathaway at the end of the second quarter. The document showed an identical number of shares of Apple and Coca-Cola, which caused a discussion among financial experts.
Financial expert David Kass of the University of Maryland suggested that Buffett likely ended the sale of Apple shares because it had reached a “round number,” which could indicate a long-term hold on those assets, similar to his approach to Coca-Cola.
Buffett, who began investing in Coca-Cola back in 1988, has maintained his stake in the company for more than 30 years. Although Apple is a technology company, Buffett sees it more as a consumer goods company, compared to Coca-Cola, and has repeatedly emphasized the importance of customer loyalty to Apple products.
The reduction of Apple’s share in Berkshire’s portfolio to 30% caused surprise among investors. While many see this as part of overall portfolio management, Buffett said he plans to continue holding shares of Apple, Coca-Cola and American Express indefinitely unless “something extraordinary” happens.
Thus, this move by Buffett underlines his confidence in the future of both companies, despite a sharp reduction in the stake in the iPhone maker.
