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Buffett's Berkshire sells $338 mln in Bank of America stock as sales slow down

Published 03/10/2024, 08:28
© Reuters.
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Investing.com -- Warren Buffett’s Berkshire Hathaway (NYSE:BRKa) Inc. (NYSE:BRKb) has been gradually reducing its stake in Bank of America Corp (NYSE:BAC) since mid-July, with the most recent sales reflecting a slowing pace. 

This week, Berkshire sold $338 million worth of shares, as per SEC filing on Wednesday, marking the 13th round of disposals. The average price fetched on Tuesday and Wednesday was $39.40 per share, one of the lowest since the selling began, Bloomberg News reported on Thursday. 

This marks a notable from earlier rounds, where Berkshire had been selling around $750 million worth of shares per round over the past few months.

Berkshire’s recent divestment follows sales in late September. Between September 25-27, the company sold over $460 million worth of Bank of America stock. 

This included the sale of 2.3 million shares at an average price of $39.27 on September 25, 5.5 million shares at $39.46 on September 26, and 3.9 million shares at $39.52 on September 27.

Just before this, from September 20-24, Berkshire disposed of another $862 million worth of shares, selling 10.2 million shares on September 20 at $40.36 per share, 4.9 million shares on September 23 at $39.94, and 6.4 million shares on September 24 at $39.49. Across these sales, prices fluctuated between $39.49 and $40.36.

Despite this ongoing sell-off, Berkshire remains the largest shareholder in Bank of America, retaining a substantial 10.2% stake worth over $31 billion. 

Buffett, now 94, has not publicly disclosed his reasons for the sales, the report added.

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