At the current Berkshire Hathaway general meeting in Omaha, Warren Buffett, the largest owner, addressed the shareholders regarding the company’s recent sale of a significant number of Apple shares. Despite this sale, Buffett’s confidence in Apple remains unwavering. The company announced that it holds around $189 billion in cash as of the first quarter results.
Following the share sales, Berkshire Hathaway’s Apple holdings decreased by 13% to 790 million shares, valued at just under $150 billion. The decision to sell was attributed to tax reasons, as Buffett anticipates rising corporate taxes due to the increasing US budget deficit. Despite the sales, Apple is expected to remain Berkshire Hathaway’s largest investment by the end of the year.
Buffett has long advocated for higher taxes on the wealthy and highlighted that Berkshire Hathaway paid $5 billion in federal taxes last year. He emphasized the importance of contributing back to the country that has provided so much.
In addition to Apple, Buffett’s other favorite investments include financial companies like American Express and beverage giant Coca Cola. He reassured shareholders that these companies will remain in Berkshire’s portfolio for the foreseeable future. Buffett also mentioned Greg Abel as the executive poised to succeed him in leading the company.
Despite the recent share sales, Berkshire Hathaway’s investment portfolio continues to deliver huge profits, with a focus on long-term investments in strong companies. Buffett’s legacy and the future of the company post his leadership were also discussed during the meeting, highlighting Berkshire Hathaway’s continued success.