“Renowned billionaire investor Warren Buffett said Monday that he’s not buying Apple shares, but would if they continued to cheapen,” Thomas Franck reports for CNBC. “‘If it were cheaper, we’d be buying it. We aren’t buying it here,’ Buffett said in an interview with ‘Squawk Box’ co-host Becky Quick. ‘I don’t see myself selling – the lower it goes, the better, I like it, obviously.'”
“Buffett has made Apple a keystone of his expansive holdings and highlighted his own use of the company’s iPad products,” Franck reports. “On Monday, Buffett also reiterated that while the latest SEC filings showed that Berkshire Hathaway had very slightly trimmed its Apple stake in the fourth quarter that was not him, but rather one of the conglomerate’s money managers — Ted Weschler or Todd Combs — who sold some Apple to make a new investment. Weschler and Combs have a capped amount of money to invest.”
“Berkshire Hathaway is the second-largest holder of Apple shares with a stake worth about $52 billion, according to FactSet,” Franck reports. “Buffett views Apple more as a compelling consumer stock than a tech stock thanks to its popularity among its many users. ‘I do not focus on the sales in the next quarter or the next year,’ he said in August. ‘I focus on the … hundreds, hundreds, hundreds millions of people who practically live their lives by it [iPhone].’ He also called the iPhone ‘enormously underpriced’ at that time, saying that it’s worth far more than the $1,000 Apple charges.”
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MacDailyNews Take: As Jim Cramer says of AAPL: “Own it, don’t trade it.”