Warren Buffett’s Berkshire Hathaway’s largest investment is $75 billion worth of Apple

Warren Buffett on May 4, 2024
Warren Buffett looks like he’s done trimming his stake in Apple. The Omaha billionaire maintained Berkshire Hathaway’s largest holding steady in the fourth quarter, following significant sell-offs of the stock in the first three quarters of 2024. Apple continues to be Berkshire Hathaway’s top equity investment, valued around $75 billion currently.
Brett Schafer for The Motley Fool:
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Buffett is giving the signal to the market that he intends to keep his ownership position in Apple, just at a reduced size, indicating that he is bullish on the stock’s future.
Revenue grew 4% year over year last quarter to $124.3 billion, with operating margin hitting a record 32% over the last 12 months. The company is seeing strong growth from its software services division, which has high margins and will help it gain operating leverage. Services revenue was over $26 billion last quarter compared to $23 billion in the year prior.
With a consistent share repurchase program, Apple has been able to return a ton of capital to shareholders in the last few years, which has helped it propel dividend payments much higher. Dividend per share is up 110% in the last 10 years, although the current dividend yield sits at just 0.42%. Apple’s hardware business remains steady, although it is not growing much anymore, while revenue from its software services continues to grow at a quick pace…
I don’t think Apple stock is an attractive buy here… That does not mean existing shareholders should run for the exits, though. If you bought Apple at a much cheaper price many years ago, it isn’t the worst idea to sit tight and keep collecting the growing dividend payouts from your holdings. Investors who don’t sell delay paying taxes, too.
Buffett is still holding on to his Apple stock.

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MacDailyNews Note: Apple’s last dividend was $0.25, payable on February 13th.
Next quarter, Apple will reveal its dividend for the next four quarters – expect it increase a penny or s. Shareholders’ next AAPL dividend will be payable next around the middle of May.

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