Warren Buffett’s Berkshire Hathaway Inc. has made headlines yet again with its recent decision to trim its massive investment in Bank of America Corp. According to a recent Bloomberg report, the conglomerate sold $767 million worth of Bank of America shares from July 25 to July 29, marking its third disposal of shares in the bank this month. This move has reduced Berkshire’s stake in the lender by a total of over $3 billion.
Despite the sell-off, Berkshire still holds nearly 962 million shares of Bank of America, valued at $39.5 billion as of Monday’s closing price. This latest round of sales represents Buffett’s largest pullback from a bet that has long been seen as a vote of confidence in Bank of America’s CEO, Brian Moynihan. The 93-year-old investor initially invested $5 billion in the bank back in 2011, during a time when the company was facing significant legal challenges in the aftermath of the 2008 financial crisis.
Buffett’s decision to reduce his stake in Bank of America comes at a time when the bank’s stock price has risen by 22% this year, translating into a substantial profit for Berkshire Hathaway. The legendary investor has previously expressed his support for Moynihan, citing his admiration for the CEO and his leadership of the company.
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