#WarrenBuffett #BerkshireHathaway #BankOfAmerica
Warren Buffett's Berkshire Hathaway has significantly reduced its stake in Bank of America, selling approximately 1.5 billion shares for $62.2 billion. This move has added around $6 billion to Berkshire's cash reserves, which now stand at a historic high of $277 billion.
The sales, which began on July 17, have been ongoing for six consecutive trading sessions. Berkshire has sold shares in 21 out of the last 33 trading days, averaging $41.33 per share. Despite these divestitures, Berkshire remains the largest shareholder of Bank of America, holding 882 million shares, or 11.4% of the bank's total shares.
The rationale behind Berkshire's decision to sell Bank of America shares is unclear, especially given Buffett's previous statements indicating no intention to part with the stock. Speculations abound, but no official explanation has been provided.
Bank of America remains the third-largest equity investment for Berkshire, representing about 11% of its total portfolio. The sales have brought Berkshire's holdings closer to those of the Vanguard Group, which owns 639 million shares.
Original Article: https://www.cnbc.com/2024/08/31/warren-buffetts-berkshire-hathaway-sells-more-bank-of-america-has-now-cut-stake-by-nearly-15percent-.html
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