According to the latest documents, renowned American investor Warren Buffett has again sold US Bank stocks worth $9.82 billion.
Since mid-July, Buffett’s Berkshire Hathaway Inc. has reduced its stake in US Bank by nearly 13%, earning $5.4 billion through a series of sales.
As reported by Bloomberg, Berkshire disclosed this information in regulatory filings submitted to the authorities on Tuesday, detailing the sales of US Bank stocks on August 23, 26, and 27.
US Bank is the second largest bank in America. However, Berkshire remains its largest shareholder. At Tuesday’s closing price, Berkshire still holds 903.8 million shares in the bank, valued at $35.9 billion.
Buffett did not explain the reason behind reducing their holdings of US Bank stocks. Buffett had purchased US Bank stocks at a trading price of nearly $5 per share in 2011. Prior to this selling spree, US Bank stocks had risen by 31% this year. Following Buffett’s reduction, the stock price of US Bank fell by 10% to $39.67.
Bloomberg noted that this series of sell-offs of US Bank stocks is one of Buffett’s largest divestment actions ever. Buffett’s long-standing investment in US Bank has been seen as an acknowledgment of the leadership capabilities of US Bank’s CEO Brian Moynihan.
The 93-year-old Buffett has publicly praised Moynihan’s abilities on multiple occasions.