Warren Buffett shelled out greater than $800 million on Bank of America stock this week.
The billionaire investor and Berkshire Hathaway boss purchased almost 34 million shares, lifting his stake within the bank to about 11.3%, SEC filings present.
Bank of America’s stock is down 32% this 12 months, suggesting Buffett determined so as to add to considered one of his largest holdings at a reduction.
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Warren Buffett purchased greater than $800 million worth of Bank of America stock this week, boosting his stake within the banking titan to north of 11%, SEC filings present.
The famed investor and Berkshire Hathaway CEO snapped up almost 34 million shares at a mean price of about $24 between Monday and Wednesday, which means he spent about $813 million.
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The purchases boosted Berkshire’s stake within the banking titan by about 3.6% to almost 982 million shares, or 11.3% of the corporate.
Bank of America was Berkshire’s second-largest holding by greenback value on the finish of March, after Apple.
Berkshire’s elevated stake is worth about $23.9 billion, primarily based on Bank of America’s stock price of $24.31 as of Wednesday’s shut.
The bank’s shares have plunged 32% this 12 months, which means Berkshire’s stake would have been worth round $35 billion initially of January.
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Buffett has been criticized in current weeks for failing to deploy Berkshire’s large cash hoard, which ballooned to $137 billion within the first quarter of this 12 months.
Nonetheless, Berkshire struck a $10 billion deal to amass most of Dominion Vitality’s natural-gas property earlier this month, and seems to have purchased again between $5 billion and $6 billion of its stock between late April and early July.
Buffett’s elevated wager on Bank of America indicators he is actively trying to find bargains once more, and prepared so as to add to his current holdings on the proper price.