Apple investor porn

From Kif Leswing's "The value of Warren Buffett’s Apple investment just went up by $9.8 billion in less than a day" posted Friday on CNBC:

The value of Berkshire Hathaway’s holdings in Apple increased $9.8 billion on Friday as Apple stock rose nearly 7% on a strong earnings report...

Berkshire Hathaway started accumulating Apple stock in 2016 and now owns 887,136,000 shares of the iPhone maker, or over 5% of Apple’s outstanding stock, according to FactSet data...

“I don’t think of Apple as a stock. I think of it as our third business,” Buffett told CNBC in 2020, calling it “probably the best business I know in the world.”

My take: Berkshire Hathaway's Apple holdings are always good for a headline on CNBC.

15 Comments

  1. Robert Paul Leitao said:
    Through BRK Mr. Buffett owns more than 5% of Apple and Apple is more than 5% of my holdings. Somehow I feel better connected and more successful.

    4
    January 29, 2022
  2. Jerry Doyle said:
    I read with interest that Apple now makes up over 40% of Berkshire Hathaway’s portfolio. For years I struggled attempting to keep my portfolio diversified because Apple inevitably usurped all my other equities combined. Then, after digesting for one solid year the words of Apple 3.0 emeritus Joseph Bland pronounced to a harkened Tim Cook at an Apple shareholders’ meeting, I acquiesced and went all-in on Apple. In the subsequent years my portfolio exploded in value. (Thank you Sacto Joe!)

    Apple currently is enthralled in a renaissance involving vigorous research and development of unique, innovative and experimental products that is leading the company to robust growth deserving of a higher valuation. Wall Street finally is digesting this fact. Apple stock deserves a higher valuation. It is coming to Apple investors. So, I continue to accumulate and hold Apple shares long.

    4
    January 29, 2022
    • Fred Stein said:
      Jerry, you, Warren, and many of us see the folly of “diworsification”, trying reduce risk by buying more stocks than any could effectively evaluate.

      Investing in AAPL shows why concentration if better. 1) The numerous qualities of Apple the company that you have so eloquently elucidated represent the biggest moat in history. 2) AAPL remains undervalued. Combined with buybacks this makes it “anti-bear”, the market reciprocal of anti-fragile. 3) We can really understand Apple. We can see how each product and service has growth without relying externals like commodity prices or other macro economics.

      There are other great investments. Good luck in finding ones that beat Apple in the above three points.

      Finally the current price does account for the upside of AV, AR, and Health.

      2
      January 29, 2022
      • Robert Paul Leitao said:
        Fred: However, BRK is a highly diversified enterprise with 100%-owned enterprise across a large number of industries. I have no qualms with investors or enterprises like BRK holding sizable and even concentrated positions in select businesses. While Apple comprises a big portion of BRK’s non-majority owned investments, it’s not BRK’s only outside investment.

        0
        January 29, 2022
  3. Michael Goldfeder said:
    Here’s to Tim Cook for getting Warren to upgrade from his flip phone to an iPhone.

    3
    January 29, 2022
  4. Kathy Corby said:
    Best comeback to “Don’t put all your eggs in one basket“ is “Put your eggs in one basket, and then watch that basket.“ Shout out to PED, who helps us keep an eye on the ole basket.

    3
    January 29, 2022
    • Robert Paul Leitao said:
      Kathy: I believe that’s a quote originally from Andrew Carnegie. Mark Twain was known for using the quote but also attributed it to Mr. Carnegie.

      0
      January 29, 2022
    • Jerry Doyle said:
      @Kathy Corby: Thanks for sharing that quote, Ms. Kathy. It reminds me of the summers that I stayed with my grand parents in the country. One of my chores each day was to collect hen eggs in a basket from the chicken coop (I won’t discuss my cleaning the chicken coop) and then to carefully remind myself to watch the basket of collected eggs and each step I took on the rocky, uneven, tree branched path back to grandma’s kitchen. Grandma was stern that I come back with no cracked eggs. I gave my undivided attention to protecting that basket of eggs even as I had to deal with my daily ritual despised nemesis, a Rhode Island Red Rooster, who always waited for me to turn my back to him so that he could fly up and spur me from behind. I was scared, but more scared of grandma’s wrath if I failed in my daily chore. Getting those protected eggs safely to the kitchen’s back porch took due diligence on my part, but I prevailed because my focus was on that “basket of eggs.” The analogy of your quote with my endeavor of keeping my focus on my basket of Apple shares is spot-on. 🙂

      3
      January 31, 2022
    • Steven Philips said:
      So now we’re all basket cases? 🙂

      1
      January 31, 2022

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