Berkshire Hathaway bought 75 million additional Apple shares in the first three months of 2018, CEO Warren Buffett told CNBC on Thursday, signaling the billionaire investor's continuing confidence in Apple.

In February last year, Buffett revealed that his holding company held around 133 million shares in Apple prior to the company's record-breaking earnings results on January 31, 2017, worth over $17 billion at the time. Today it holds 240.3 million shares worth $42.5 billion.

warren buffett

"If you look at Apple, I think it earns almost twice as much as the second most profitable company in the United States," Buffett told CNBC.

Historically, Buffett has shied away from investing in technology companies, but the business magnate has suggested he sees Apple more as a consumer company. Reuters reports that Berkshire's latest Apple investment serves as a way of reducing the corporate group's $116 billion in cash and equivalents, without having to acquire a whole company.

Apple posted revenue of $61.1 billion and net quarterly profit of $13.8 billion in the first quarter of the year, up from revenue of $52.9 billion and net quarterly profit of $11.0 billion in the year-ago quarter. Apple said it will start a new share buyback authorization of $100 billion following the record revenue and profit numbers.

Top Rated Comments

Constable Odo Avatar
60 months ago
It's really odd how some old guy like Warren Buffett understands how Apple is being run and he's not even into tech. I know he was saying that he's not buying Apple stock just for quarterly iPhone sales. He's looking at a longer term picture. Yet, there's always these analysts and investors fretting and crying over how many iPhones are being sold and consider it some sort of financial disaster if Apple comes up a million short in a single quarter. Shouldn't most companies be judged by product sales for a full year and not just quarter to quarter.

I realize Apple might not perform like the FANG stocks do when it comes to share gains. Apple doesn't appear to have any double-digit growth in revenue. Maybe those times are gone forever. Still, there's no reason for analysts to be telling people to dump Apple stock and buy FANG stocks. Saying something like that is so stupid. Apple gives out pretty decent dividends. Most companies don't have double-digit revenue growth so it's like analysts are telling investors not to invest in companies that can't provide double-digit revenue growth and that's most of the companies on the planet.

For the most part, Buffett seems like a rather smart and conservative investor who buys stock based on a company's fundamentals instead of just quarterly sales. He seems like he's into Apple for the long haul and I hope he is. It will be interesting to see if Apple is able to outlast any of the FANG stocks that Wall Street constantly praises.
Score: 3 Votes (Like | Disagree)
adamjackson Avatar
60 months ago
Lol and at the peak, Carl Icahn held 3 million shares, right? Goes to show how different these investors are. Berkshire buys 75 million, doesn't tell Apple how to run the show. Icahn holds 3 million and every week spouts off about how badly Apple is being operated.
Score: 2 Votes (Like | Disagree)
Nunyabinez Avatar
60 months ago
Lol and at the peak, Carl Icahn held 3 million shares, right? Goes to show how different these investors are. Berkshire buys 75 million, doesn't tell Apple how to run the show. Icahn holds 3 million and every week spouts off about how badly Apple is being operated.
That has been the secret to Buffet’s success. He buys companies that are doing awesome and then lets the people who got them there keep running them.

If a company needed help making decsisons, Buffet wouldn’t take a second look at them.
Score: 1 Votes (Like | Disagree)
Solomani Avatar
60 months ago
Dear Mister Buffet, Your Awesomeness, Pre-eminent Duke of Apple:

Please bring back the Mac Pro. Please tell your company (AAPL) that they cannot keep ignoring those beautiful Macs. Please tell your company to make Siri a lot better, and more competitive. We gave up on Cook, but maybe you could Make Apple Great Again, sir! Thank you for listening. :p

Score: 1 Votes (Like | Disagree)
kingalexthe1st Avatar
60 months ago
It's really odd how some old guy like Warren Buffett understands how Apple is being run and he's not even into tech. I know he was saying that he's not buying Apple stock just for quarterly iPhone sales. He's looking at a longer term picture. Yet, there's always these analysts and investors fretting and crying over how many iPhones are being sold and consider it some sort of financial disaster if Apple comes up a million short in a single quarter. Shouldn't most companies be judged by product sales for a full year and not just quarter to quarter.

I realize Apple might not perform like the FANG stocks do when it comes to share gains. Apple doesn't appear to have any double-digit growth in revenue. Maybe those times are gone forever. Still, there's no reason for analysts to be telling people to dump Apple stock and buy FANG stocks. Saying something like that is so stupid. Apple gives out pretty decent dividends. Most companies don't have double-digit revenue growth so it's like analysts are telling investors not to invest in companies that can't provide double-digit revenue growth and that's most of the companies on the planet.

For the most part, Buffett seems like a rather smart and conservative investor who buys stock based on a company's fundamentals instead of just quarterly sales. He seems like he's into Apple for the long haul and I hope he is. It will be interesting to see if Apple is able to outlast any of the FANG stocks that Wall Street constantly praises.
Well said. Apple's P/E ratio is wonderfully low, and the fact it posts gains as it does for a $920 billion company is extraordinary. I think it's undervalued, and the only reason I'm not buying AAPL is because I'm already exposed to the tech sector and don't want to indulge.
Score: 1 Votes (Like | Disagree)
IJ Reilly Avatar
60 months ago
Hmm, when these real professional type investors get involved it’s generally detrimental to ordinary shareholders - they’d much rather the stock cycled between $150 and $180 so they can buy and sell for a profit than it just keep going up...
This has never been Buffett's style. He's been a buy and hold "value" investor for decades, this is how he made his reputation and his billions. Now, suddenly he's a pumper and dumper? No, probably not.
Score: 1 Votes (Like | Disagree)

Popular Stories

Cyber Monday Deals Feature 2022

Best Cyber Monday Apple Deals Still Available for AirPods, Apple TV, iPad, and More

Monday November 28, 2022 5:24 am PST by
The Black Friday and Cyber Monday holiday shopping rush is drawing to a close, but there are still some good deals to be had out there. For Apple products, many of the deals you've seen since last week are still available, though some have expired. So for anyone who missed out on Black Friday deals, there's still an opportunity to get some of the year's best prices on many Apple devices. Note: ...
iPhone 14 Pro Rear Camera

iPhone 15 to Use 'State-of-the-Art' Image Sensor From Sony for Better Low-Light Performance

Monday November 28, 2022 11:00 am PST by
Apple's upcoming iPhone 15 models will be equipped with Sony's newest "state of the art" image sensors, according to a report from Nikkei. Compared to standard sensors, Sony's image sensor doubles the saturation signal in each pixel, allowing it to capture more light to cut down on underexposure and overexposure. Nikkei says that it is able to better photograph a person's face even with...
Apple Watch Ultra Oceanic Plus App

Apple Announces Oceanic+ App Now Available for Apple Watch Ultra

Monday November 28, 2022 6:11 am PST by
Apple today announced that the Oceanic+ app is available for the Apple Watch Ultra starting today. Designed by Huish Outdoors in collaboration with Apple, the app serves as a dive computer for recreational scuba diving at depths up to 40 meters/130 feet. Apple already offers a basic Depth app on the Apple Watch Ultra for viewing your current depth, maximum depth reached, water temperature,...
app store awards 2021

Apple Announces 2022 App Store Award Winners, Highlighting Best Apps of the Year

Tuesday November 29, 2022 3:10 am PST by
Apple today announced its 2022 App Store Award winners, highlighting the 16 best apps and games selected by Apple's global App Store editorial team. The top apps were chosen by Apple for their quality, innovative technology, creative design, positive cultural impact, and ability to deliver "exceptional experiences." Apple CEO Tim Cook said: This year's App Store Award winners reimagined...
rapid security response

Apple Releases Another Rapid Security Response Update for iOS 16.2 Beta Users

Monday November 28, 2022 10:16 am PST by
Apple today released a Rapid Security Response update that is available for those running the iOS 16.2 beta, marking the launch of the second RSR update since the feature was released in iOS 16. The Rapid Security Response Update is designed to provide iOS 16.2 beta users with bug fixes without the need to install a full update. The initial RSR release for iOS 16.2 beta users was a test with ...
twitter elon musk

Elon Musk Claims Apple Has 'Mostly Stopped' Offering Ads on Twitter and Is Making Moderation Demands

Monday November 28, 2022 10:42 am PST by
Apple has cut back on its Twitter advertising, according to Twitter CEO Elon Musk. In a tweet, Musk said that Apple has "mostly stopped" its Twitter ads, asking if Apple hates "free speech." Musk went on to publish a poll asking if Apple should "publish all censorship actions" taken that impact customers and he began retweeting content from companies that Apple has had moderation discussions ...
iphone 11 tesla cybertruck close up

Elon Musk Pledges to Build iPhone Rival If Apple Ousts Twitter

Tuesday November 29, 2022 2:48 am PST by
Elon Musk has pledged to offer an "alternative phone" if Apple and Google remove Twitter from their app stores, adding to long-standing rumors about an iPhone rival from Tesla. Modified iPhone 11 Pro in the style of the Tesla Cybertruck, by Caviar. Musk's remark came after being asked about the potential scenario of Twitter being removed from app stores, which could conceivably happen if the...
General Black Friday Deals 2022 Green

All the Apple Black Friday Deals You Can Still Get

Friday November 25, 2022 4:40 am PST by
Although Black Friday is now technically over, many Apple products are still seeing major discounts through the weekend as we head into Cyber Monday. In this article, you'll find every Apple device with a notable Black Friday sale that's still available. We'll be updating as prices change and new deals arrive, so be sure to keep an eye out if you don't see the sale you're looking for yet. Note:...