In the fourth quarter, Warren Buffett's Berkshire Hathaway Inc reduced its holdings in Taiwanese contract chipmaker TSMC, as well as some banks, while increasing its holdings in Apple Inc.
According to a regulatory filing, Berkshire reduced its position in Taiwan Semiconductor Manufacturing Co Ltd (TSMC) by 86.2% to 8.29 million sponsored American depositary shares.
This comes roughly three months after Berkshire announced it had purchased more than $4.1 billion in TSMC stock, sending shares of the world's largest contract chipmaker soaring.
On Tuesday, TSMC depository receipts fell 4% in after-hours trading in the United States. As Asian markets opened on Wednesday, TSMC shares were down 3.3%.
TSMC depositary shares, which did not respond immediately to a request for comment, have risen nearly 32% this year, closing at $97.96 on Tuesday.
"Berkshire made a small profit on TSMC. It was not a huge, huge win for Berkshire," said Cathy Seifert, a CFRA Research analyst. According to her calculations, Berkshire bought it for roughly $68.5 and sold for $74.5.
It is unusual, but not unprecedented, for Berkshire to quickly reverse a multibillion-dollar investment in a company's stock. Berkshire sold nearly all of its $8.3 billion stake in Verizon Communications Inc in the first quarter of 2022.
TSMC said last month that revenue in the first quarter is likely to fall 5% as the chip industry experiences a global downturn due to weakening consumer demand for electronics. TSMC executives have stated that they do not expect market conditions to improve until the second half of the year.
Aside from TSMC, Buffett reduced its stake in US Bancorp by 91.4%, to 6.7 million shares, and reduced its stake in BNY Mellon by roughly 60%, to 25.1 million shares. At current prices, both cuts total nearly $5.5 billion.
Buffett's holdings also include Citigroup Inc, Bank of America, and Jefferies.
Berkshire reduced its holdings in several US-listed companies, including Chevron, Activision Blizzard, the maker of the video game "Call of Duty," and Kroger.
Microsoft Corp is attempting to complete its acquisition of Activision Blizzard. Microsoft will defend the deal in a closed hearing before European Union and national antitrust officials on February 21.
Apple is one of Berkshire's few new additions, which Buffett sees as more of a consumer goods company. According to the filing, Berkshire purchased another 20.8 million Apple shares worth $3.2 billion, bringing its stake to 5.8%.
Apple's stock has risen nearly 18% this year.
Berkshire also disclosed a $84 million investment in building materials company Louisiana-Pacific Corp.
(Source:www.asianekkei.com)
According to a regulatory filing, Berkshire reduced its position in Taiwan Semiconductor Manufacturing Co Ltd (TSMC) by 86.2% to 8.29 million sponsored American depositary shares.
This comes roughly three months after Berkshire announced it had purchased more than $4.1 billion in TSMC stock, sending shares of the world's largest contract chipmaker soaring.
On Tuesday, TSMC depository receipts fell 4% in after-hours trading in the United States. As Asian markets opened on Wednesday, TSMC shares were down 3.3%.
TSMC depositary shares, which did not respond immediately to a request for comment, have risen nearly 32% this year, closing at $97.96 on Tuesday.
"Berkshire made a small profit on TSMC. It was not a huge, huge win for Berkshire," said Cathy Seifert, a CFRA Research analyst. According to her calculations, Berkshire bought it for roughly $68.5 and sold for $74.5.
It is unusual, but not unprecedented, for Berkshire to quickly reverse a multibillion-dollar investment in a company's stock. Berkshire sold nearly all of its $8.3 billion stake in Verizon Communications Inc in the first quarter of 2022.
TSMC said last month that revenue in the first quarter is likely to fall 5% as the chip industry experiences a global downturn due to weakening consumer demand for electronics. TSMC executives have stated that they do not expect market conditions to improve until the second half of the year.
Aside from TSMC, Buffett reduced its stake in US Bancorp by 91.4%, to 6.7 million shares, and reduced its stake in BNY Mellon by roughly 60%, to 25.1 million shares. At current prices, both cuts total nearly $5.5 billion.
Buffett's holdings also include Citigroup Inc, Bank of America, and Jefferies.
Berkshire reduced its holdings in several US-listed companies, including Chevron, Activision Blizzard, the maker of the video game "Call of Duty," and Kroger.
Microsoft Corp is attempting to complete its acquisition of Activision Blizzard. Microsoft will defend the deal in a closed hearing before European Union and national antitrust officials on February 21.
Apple is one of Berkshire's few new additions, which Buffett sees as more of a consumer goods company. According to the filing, Berkshire purchased another 20.8 million Apple shares worth $3.2 billion, bringing its stake to 5.8%.
Apple's stock has risen nearly 18% this year.
Berkshire also disclosed a $84 million investment in building materials company Louisiana-Pacific Corp.
(Source:www.asianekkei.com)
