Stocks

Berkshire Hathaway's Massive Bet on Apple Inc.

Published December 17, 2023

Among the myriad of investments held by Warren Buffett's BRK-A, one stands out prominently above the rest. Approximately half of Berkshire Hathaway's $365 billion investment portfolio is allocated to a single stock, a tech giant that has proven to be an excellent investment in recent years. That company is none other than Apple Inc. AAPL, the American multinational technology titan known for its consumer electronics and innovative software solutions.

The Hefty AAPL Stake

Berkshire Hathaway has thrown considerable weight behind AAPL, with a stake that underscores Buffett's confidence in the tech behemoth. Apple Inc. represents not only a substantial equity position within Berkshire's diverse portfolio but also encapsulates the convergence of technology and value investing—a hallmark of Buffett's strategy. With its dominant position in the global market as the largest technology company by revenue and the fourth-largest PC vendor and smartphone manufacturer, Apple's financial health and consumer ubiquity make it an attractive holding.

Berkshire's Diversified Holdings

While BRK-A is widely recognized for its substantial investment in AAPL, the conglomerate's portfolio extends far beyond this single entity. Berkshire Hathaway owns a range of companies such as GEICO, Duracell, and Dairy Queen, alongside significant minority stakes in Kraft Heinz, American Express, Coca-Cola, and Bank of America. Nevertheless, it is the investment in Apple that forms the centerpiece of Berkshire's stock-based assets, signifying a shift in Buffett's investment philosophy towards embracing technology sector juggernauts.

Investment, Buffett, Apple