Apple became the first company to hit the $ 3 billion milestone and was defeated by Warren Buffett. Apple’s tenure at the $ 3 billion mark was short-lived, but it helped the Berkshire Hathaway leader earn more than $ 120 billion.
Berkshire Hathaway made a seemingly unusual bet in 2016 when it acquired shares in a tech company led by Tim Cook. This will expand participation in 2018. The company currently owns 5.4% of Apple, following a reduction from 5.7%. In 2022, when the company grows to $ 3 billion, the conglomerate’s investment in Apple is estimated at $ 160 billion, CNBC notes.
And Berkshire’s own analysts admit that the “unusual” game will be one of the best investments the Omaha Oracle, as Buffett is known, has ever made. “Without a doubt, this is one of the strongest investments Berkshire has made in the last decade,” James Shanahan said in an interview with US broadcaster CNBC.
Berkshire Hathaway owned over 907 million shares of Apple at the end of 2020, according to the company. In addition to the value of this stake, the company has also benefited from this technology, cashing out approximately $ 775 million annually.
Warren Buffett’s Berkshire Hathaway has investments in several lines of business, but maintains somewhat distant relationships with large technology stocks. Still, Apple holds a special place among the conglomerate’s investments, as a Berkshire spokesman admitted in a 2020 interview with CNBC. “I don’t think Apple is stocks, I consider this our third business.”
The 91-year-old Buffett is the ninth richest person in the world according to the Bloomberg Billionaire Index, with an estimated fortune of $ 112 billion.
