Buffett significantly reduces his holdings of 100 million shares in Apple
Zhao Gang, reporter from China Fund News
Buffett significantly reduces his holdings of 100 million shares in Apple and tests the waters with positions in Domino's Pizza and Pool!
According to the latest disclosure by the US Securities and Exchange Commission (SEC), Berkshire Hathaway, owned by Warren Buffett, has submitted its third quarter holdings report as of September 30, 2024.
Data shows that Berkshire Hathaway's total market value of holdings in the third quarter was $266 billion, a decrease of 5% compared to the previous quarter's $280 billion.
Reduce holdings of Apple by 100 million shares
Among the top ten heavily held stocks, Berkshire Hathaway's reduction of 100 million shares in Apple has attracted widespread market attention. Its latest holdings are 300 million shares, with a market value of approximately $69.9 billion, accounting for 26.24% of the investment portfolio and a 25% decrease in holdings compared to the previous quarter.
American Express ranks second with approximately 152 million shares held and a market value of $41.1 billion; Bank of America ranks third, holding approximately 766 million shares with a market value of approximately 32.3 billion US dollars, a decrease of 1.12% in holdings compared to the previous quarter. At present, Buffett's shareholding in Bank of America has dropped below the critical disclosure threshold of 10%.
The other heavily held stocks ranked fourth to tenth are: Coca Cola, Chevron, Western Petroleum, Moody's, Kraft Heinz, Anda Insurance, and DeWitt.
In addition to Apple and Bank of America, which have already received attention, Berkshire Hathaway also reduced its holdings in First Capital Credit, Nu Holdings, Technews Communications, and Ulta Beauty in the third quarter.
Among them, the holdings of Ulta Beauty decreased significantly by 96.49% compared to the previous quarter, and the holdings of Technews Communications decreased by 26.30% compared to the previous quarter.
Affected by Buffett's reduction in holdings, Ulta Beaut fell about 4% after trading.
Create a new warehouse for Domino's Pizza and Pool
In addition to reducing holdings, the market is paying close attention to Buffett's newly built warehouses in Domino's Pizza and Pool this quarter.
Specifically, Berkshire Hathaway purchased approximately 1.3 million shares of Domino's Pizza in the third quarter, with a shareholding ratio of 3.6% and a value of approximately $550 million. In addition, it also purchased a 1% stake in Pool Company, a wholesale distributor of swimming pool equipment, valued at approximately 152 million US dollars.
Domino's Pizza rose over 7% after the market, while Pool rose over 6% after the market.
According to Berkshire Hathaway's third quarter financial report released earlier this month, total revenue was $92.995 billion, a slight decrease from $93.21 billion in the same period last year. Operating profit decreased by 6.2% year-on-year to $10.09 billion, failing to meet market expectations of $10.9 billion.
However, in terms of net profit, the company achieved a profit of $26.25 billion, compared to a loss of $12.77 billion in the same period last year. In terms of investment returns, the company has transformed from a loss of $29.78 billion in the same period last year to a profit of $20.51 billion.
In addition, as of the end of the third quarter, Berkshire Hathaway's cash reserves soared to $325.2 billion, a significant increase from $168 billion at the beginning of the year and setting a historical high.
