Buffett's decision to reduce his holdings in Bank of America is considered an important adjustment in the portfolio of "stock god" investors.
According to a public document released on Friday, between July 17th and 19th, Buffett's Berkshire Hathaway completed several transactions, selling approximately 34 million shares of Bank of America worth about $1.48 billion, with strike prices ranging from $43.13 to $44.07 per share.
Source: SEC
After this reduction, Berkshire Hathaway still holds approximately 999 million shares of Bank of America, worth over $42 billion, making it the second-largest holding in Berkshire Hathaway's investment portfolio after Apple.
As of the latest, the market value of Bank of America is as high as $335.5 billion. Over the past month, Bank of America's stock price has risen by 7.9%, with a cumulative increase of 26.55% so far this year.
It is worth noting that Buffett's latest holdings have also been exposed recently. On May 15th local time, Berkshire Hathaway submitted a 13F filing to the US Securities and Exchange Commission website, which showed that the company sold 116 million shares of Apple in the first quarter. As of March 31, Berkshire Hathaway holds 789 million shares of Apple, currently worth approximately $155 billion, accounting for about 40% of Berkshire Hathaway's stock investment portfolio.
In addition, in the first quarter, Berkshire also reduced its holdings of HP, Chevron, and Paramount Global. During the quarter, Berkshire sold approximately 23 million shares of HP stock, completely liquidating its holdings in HP. At the same time, it also reduced its holdings of 3.11 million shares of Chevron stock and sold approximately 55.8 million shares of Paramount Global stock.
Meanwhile, Berkshire Hathaway's previously kept secret stock, Chubb Insurance, was also revealed. The documents show that since the second half of 2023, Berkshire Hathaway has been aggressively building positions and buying into Anda Insurance. As of the end of the first quarter of this year, Berkshire Hathaway held a total of 25.92 million shares of Anda Insurance, with a market value of $6.719 billion, ranking among Berkshire Hathaway's ninth largest holdings in the US stock market.
As of the end of the first quarter, Berkshire Hathaway's top ten holdings were Apple, Bank of America, American Express, Coca Cola, Chevron, Western Petroleum, Kraft Heinz, Moody's, Anda Insurance, and Davita Healthcare.
At the 2024 annual shareholders' meeting, Buffett stated that he will continue to hold long-term investments in Apple, Coca Cola, and American Express, which have achieved great success in the past. Despite the recent decline in Apple's sales, it is highly likely that Apple will still be Berkshire Hathaway's largest holding company. At the same time, he also hinted that selling Apple was driven by a desire to avoid much higher tax rates in the future, rather than a judgment on its long-term prospects.
