Berkshire Hathaway Further Reduces BAC Holdings, Cashes Out Over $10 Billion | StockXpoStockXpo

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Berkshire Hathaway Further Reduces BAC Holdings, Cashes Out Over $10 Billion

Published: Tuesday, October 8, 2024 · 5:10 AM  |  Updated: Tuesday, October 8, 2024 · 5:10 AM

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🗝️ Key Points

  • Warren Buffett (Trades, Portfolio)'s conglomerate, Berkshire Hathaway (BRK.A), has further reduced its holdings in Bank of America (BAC, Financial), amidst an ongoing stock.
  • In the most recent transaction, Berkshire liquidated $383 million worth of shares over three trading days, a smaller amount compared to Previous rounds.
  • The filing indicates that selling tends to slow when the stock price hits $39.

Warren Buffett (Trades, Portfolio)’s conglomerate, Berkshire Hathaway (BRK.A), has further reduced its holdings in Bank of America (BAC, Financial), amidst an ongoing stock selling spree that has accumulated over $10 billion in cash. According to a regulatory filing, the latest round marked the 14th sale, with the company collecting significant earnings by selling shares of the second-largest bank in the U.S.

Buffett, aged 94, Initiated this considerable investment reduction in mid-July, exerting constant pressure on the bank’s stock price since then. In the most recent transaction, Berkshire liquidated $383 million worth of shares over three trading days, a smaller amount compared to previous rounds. The filing indicates that selling tends to slow when the stock price hits $39. On that trading day, the stock closed at $39.96.

Based on the current share price, Berkshire’s remaining 10.1% stake in the bank is valued at approximately $31.4 billion.

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