Berkshire Hathaway (NYSE: BRKa), led by Warren Buffett, has significantly reduced its investments in Apple (NASDAQ: AAPL), selling nearly half of its shares. According to the latest earnings report, the value of Berkshire’s stake in Apple dropped to $84.2 billion by the end of the second quarter, indicating a sale of approximately 50% of its stake in the company. Despite this large sale, Apple shares remain the largest holding in Berkshire’s portfolio.
Buffett hinted during Berkshire’s annual meeting in May that the sales were partially driven by tax considerations, suggesting that reducing the Apple stake could be beneficial for Berkshire’s shareholders if capital gains taxes increase in the future.
Apple’s stock performed strongly in the second quarter, rising by 23% and achieving a new record, supported by investor enthusiasm for the company’s focus on artificial intelligence. At one point, Berkshire’s investment in Apple represented half of its entire equity portfolio.
In addition to Apple, Buffett has been actively reducing his stakes in other major companies, and it is noteworthy that the company has also started cutting its stake in Berkshire’s second-largest investment, Bank of America.
