Berkshire Hathaway’s Cash Reserves Hit Record $277 Billion

Berkshire Hathaway, led by Warren Buffett, saw a 15% rise in after-tax operating profits for the latest quarter, driven by substantial gains from its investment in Apple.

The company, however, significantly reduced its Apple stake by 50%, offloading $50 billion worth of shares—about 390 million shares—in a bid to streamline its portfolio and increase its cash reserves.

This move resulted in impressive profits of $47.2 billion from Apple.

In total, Berkshire Hathaway has divested $76 billion in stocks, boosting its cash holdings to a record $277 billion, up from $189 billion the previous quarter.

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Despite repurchasing only $345 million worth of its own stock, the conglomerate’s insurance and other businesses have contributed to the profit increase.

Berkshire’s Class A shares dropped 0.9% to $641,435, while Class B shares fell 0.8% to $428.36. Despite this, Class A shares have gained 16% year-to-date, maintaining their status as the priciest stock globally per share, a reflection of Buffett’s strategy to discourage speculative trading.

Alexander Stefanov