Warren Buffett Cuts Back on Bank of America Shares Again

Publiktoday.com-Warren Buffett's Berkshire Hathaway has continued to reduce its stake in Bank of America (BAC), selling more shares last week after a rise in the bank's stock price. Between July 25 and July 29, Berkshire sold approximately 18.41 million shares, according to a Monday filing. Earlier this month, Berkshire had already sold around 34 million shares of Bank of America following a two-year high in the bank's stock price after a strong earnings report.

Despite these reductions, Berkshire still holds about 961.65 million Bank of America shares, valued at approximately $39.51 billion based on Monday's closing price of $41.09 per share. This means Berkshire retains a 12.3% stake in Bank of America, making it the company's second-largest holding after Apple (AAPL).

Bank of America shares rose after the bank reported earnings that exceeded expectations, driven by growth in investment banking. However, since reaching a two-year high, the shares have dropped about 5% to $41.60 as of Tuesday morning. Berkshire Hathaway's Class B shares saw a slight increase of 0.5% on Tuesday, reaching $440.48, which is below the record levels reached earlier this month.

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Analysis of Berkshire Hathaway's Sale of Bank of America Shares (Premium Content)