From Business Insider’s “Warren Buffett’s Apple stake has surged in value to $128 billion. It would be worth $146 billion if the investor hadn’t slashed it.” posted Thursday:
Warren Buffett’s Apple bet jumped in value to $128 billion on Wednesday, thanks to the iPhone maker’s stock price closing at a record high. The investor has more than tripled his money on Apple in the past three years- but he would have quadrupled it if he didn’t sell a chunk of the holding.
Buffett’s Berkshire Hathaway conglomerate spent $36 billion between 2016 and mid-2018 to amass the equivalent of 1 billion Apple shares, which would be worth $146 billion today. However, Buffett has cashed in about 12% of that stake in recent years.
The Berkshire chief may be kicking himself for taking money off the table. After all, he describedApple as “probably the best business” he knows in a CNBC interview last year, and touted Berkshire’s stake as its third-most valuable asset and a “family jewel” in his latest shareholder letter.
Moreover, Buffett acknowledged during Berkshire’s annual meeting in May that it was “probably a mistake” to trim the position. He also revealed that Berkshire’s vice-chairman and his business partner, Charlie Munger, had advised him against selling the stock.
My take: He’s still way ahead.