Warren Buffett’s company, Berkshire Hathaway, has been gradually reducing its stake in Chinese electric carmaker, BYD. The company has now sold close to 95 million out of its original 225 million shares. Despite this reduction, Berkshire Hathaway remains a significant shareholder, with a current holding of 130.3 million BYD shares, equating to approximately 12% of the stock.
Berkshire Hathaway announced its most recent sale of 4.235 million BYD shares in a filing with the Hong Kong stock market. According to disclosure rules, Berkshire is only required to reveal its ownership stake when it decreases into another percentage point.
See also: Warren Buffett Continues to Sell BYD Shares, Reducing Holdings to 13.97%
Until last August, Berkshire Hathaway had not sold any of the BYD shares it bought in 2008. The stake, which cost $232 million, has now significantly increased in value and is worth billions of dollars. BYD, based in Shenzhen, China, is one of the largest electric vehicle manufacturers globally, having sold almost 1.9 million vehicles in 2022, including electric, hybrid, and plug-in vehicles.
Buffett did not comment on the reason for selling the shares, as he typically refrains from commenting on his stock transactions while they are ongoing. Nevertheless, many investors closely follow Buffett’s investments due to his remarkable track record of successful investments over the years.
In addition to its BYD holdings, Berkshire Hathaway has a large portfolio that includes major investments in companies such as Apple, Bank of America, Coca-Cola, and others. The company also owns over 90 companies, including Geico insurance, BNSF railroad, several utilities, and a diverse range of manufacturing and retail firms.
