Famed investor Warren Buffett continues to reduce his stake in consumer electronics giant Apple (AAPL).
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Buffett’s latest 13F regulatory filing with the U.S. Securities and Exchange Commission (SEC) shows that the Oracle of Omaha cut his stake in AAPL stock to 280 million shares at the end of this year’s second quarter, down from 300 million at the end of the first quarter.
Buffett has cut his holding of Apple stock by two-thirds (67%) since the third quarter of 2023. As of June 30 this year, Buffett’s company, Berkshire Hathaway (BRK.B), owned 280 million Apple shares worth $64.93 billion. Apple remains Berkshire Hathaway’s biggest position, accounting for 22% of the conglomerate’s portfolio. But that’s down from 49% of the portfolio two years ago when the position was at its peak.
Troubled Times
Buffett’s continued selling of AAPL stock comes amid evidence that the technology giant’s growth has slowed, with global sales of its signature iPhone stalling. The iPhone accounts for 50% of Apple’s annual revenue. Buffett himself has not commented publicly on why he is paring back his Apple position.
However, Apple is not the only big position that Buffett has been reducing. He also continues to sell down his stake in Bank of America (BAC). Buffett sold about 4% of his remaining Bank of America stake during Q2 of this year. Berkshire Hathaway now owns 605.27 million shares of BAC stock, comprising 9.7% of the portfolio. Buffett has been a net seller of stocks for 11 consecutive quarters.
Is AAPL Stock a Buy?
The stock of Apple has a consensus Moderate Buy rating among 28 Wall Street analysts. That rating is based on 16 Buy, 11 Hold, and one Sell recommendations assigned in the last three months. The average AAPL price target of $239.18 implies 3.55% upside from current levels.
