Key Takeaways:
- Warren Buffett’s Berkshire Hathaway revealed that the business added a new position in Capital One Financial.
- Capital One shares rose 5.7% in after-hours trading following Berkshire’s disclosure of a 9.92 million share stake worth about $954 million.
- Berkshire sold its shares in Bank of New York Mellon Corp., furniture retailer RH, Taiwanese chipmaker TSMC, and US Bancorp.
WISCONSIN (CoinChapter.com) — Recent portfolio disclosures from Warren Buffett’s Berkshire Hathaway revealed that the business added a new position in Capital One Financial to its existing sizable holdings of Bank of America and Apple.
Meanwhile, the “Oracle of Omaha” removed BNY Mellon, a US banking giant known for its pro-crypto stance, from the portfolio.
Warren Buffett Loves Apple Inc.
Apple remains Berkshire’s largest stockholding.
Warren Buffett said it was better than any other business. He added that loyalty to the iPhone’s customer base makes it an “extraordinary product.” The company has a solid balance sheet, a loyal customer base, and a history of innovation that has kept it ahead of the competition.
Despite concerns about slowing iPhone sales and increased competition from other tech giants, Apple remains a strong player in the industry. In addition, the company’s recent move into services, such as Apple Music and Apple Pay, will provide a new source of revenue growth.
Capital One Financial
Capital One shares rose 5.7% in after-hours trading following Warren Buffett’s disclosure of a 9.92 million share stake worth about $954 million. His investment in Capital One departs from his typical focus on financial companies with a more traditional banking focus.
Capital One is primarily known for its credit card business but has expanded into other areas, such as banking and auto loans.
Warren Buffett’s investment in the company could indicate his belief in its ability to grow and diversify. Capital One has been a strong performer in recent years, with heavy investments in technology, which has helped streamline operations and improve customer experience.
The Portfolio Shift
Additionally, Berkshire sold its shares in Bank of New York Mellon Corp., furniture retailer RH, Taiwanese chipmaker TSMC, and US Bancorp. Monday’s filing does not specify Warren Buffett’s assets. Buffett’s reputation for selecting successful businesses and holding onto them for a long time.
BNY Mellon and Its Love for Crypto
It is well known that Warren Buffett despises crypto.
He said he wouldn’t buy all the Bitcoin in the world for $25. So in that respect, digging into Buffett’s mind, it may be more than possible that he dumped Bank of New York Mellon Corp. just for that reason – crypto.
Earlier this year, in March, BNY announced its investment in Ownera, the developer of FINP2P, which aims to link platforms for tokenizing digital assets with wealth managers and exchanges. At that time, the amount invested was not made public, but according to firm registry documents, $3 million in fresh funds were received.
The move by Warren Buffett to sell off a portion of Berkshire’s interests may indicate that he wants to shift the company’s focus or that he’s merely eliminating some positions to create a place for fresh investments.
