Berkshire Hathaway CEO, Warren Buffet says after one day of Berkshire Hathaway acquiring another 75 million shares of Apple that Apple should spend more cash buying its own shares.
Buffet quoted “They are not going to find $50 billion or $100 billion acquisitions that they can make at remotely a sensible price. It is a better idea than spending that money on other companies which have the disadvantage of not being Apple.” in company’s annual meeting held in Omaha city in the US state of Nebraska.
Despite the global reports for the decreasing demands for iPhone, Apple posted a healthy revenue of $61.1 billion and net quarterly profit of $13.8 billion globally for its second quarter for fiscal 2018.
Berkshire Hathaway now owns a large amount of Apple shares and has a 5% stack in The Company. Berkshire owned $40.7 Billion of Apple share at the end on Q1,2018 rising by 12.59 %, as they owned $28.2 billion at the end of 2017.
He also said “I’m delighted to see them repurchasing shares. We own 5 percent of it. With the passage of time, we may own 6 or 7 percent because they repurchase shares”.
On being asked for the reason of not investing in Microsoft, he said: “in the earlier years, the answer is stupidity”. He stayed away from investing “because of the inference”.
He also said “The truth is that I’ve watched Amazon from the start and I think what Jeff Bezos(Amazon CEO) has done is something close to a miracle. The problem is if I think something will be a miracle, I tend not to bet on it” for Amazon.