“I don’t know what exactly he’s doing, because frankly, we can’t ask him”, Bank of America CEO Brian Moynihan is talking about Berkshire Hathaway's Warren Buffet selling BofA shares.
BofA's largest shareholder Berkshire Hathaway is selling BofA stocks.
The Omaha, Nebraska-based conglomerate shed a total of 5.8 million BofA shares in separate sales on last Friday, Monday and Tuesday for almost $228.7 million at an average selling price of $39.45 per share, according to a new regulatory filing.
BofA is one of the stock Buffett showed interest. In 2011, Buffett bought $5 billion worth of BofA’s preferred stock and warrants. He converted warrents in 2017 hwich made him the biggest stockholder of BofA. That's not it, 'Oracle of Omaha' then added 300 million more shares in 2018 and 2019.
“I don’t know what exactly he’s doing, because frankly, we can’t ask him. We wouldn’t ask,” he said during Barclays Global Financial Services Conference, according to a transcript on FactSet. “But on the other hand, the market’s absorbing the stock ... we’re buying a portion of the stock, and so life will go on.”
Moynihan, who has been leading the bank since 2010, praised the 94-year-old’s shrewd investment in his bank in 2011, which helped shore up confidence in the embattled lender struggling with losses tied to subprime mortgages.
“He’s been a great investor for our company, and stabilized our company when we needed at the time,” Moynihan said.
Oracle of Omaha is also selling Apple, American Express and Charlotte as well.
But where he's investing? Oracle of Omaha is not putting his money anywhere but he's considering cash as a best option to have right now.
In the last quarterly results of Berkshire Hathaway, company informed the exchanges that it has reduced shareholding from apple, american express and bank of america and cash holding of the company has been increased up to 178 billion dollars.
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