- Warren Buffett's Berkshire Hathaway sold another chunk of its HP position last week, a filing shows.
- Buffett's company cashed out $130 million worth of the PC maker's stock, cutting its stake to 11.2%.
Warren Buffett's $4 has forged ahead with paring its $4 stake, offloading about $130 million worth of the computing company's stock in three days last week.
Buffett's conglomerate sold nearly 4.8 million shares at prices between $26 and $28, a $4 showed on Friday. The disposals cut its HP stake by 4.1% to just under 111 million shares, reducing its ownership from 11.7% to 11.2%.
HP stock soared to a record intraday high after Berkshire $4 in April 2022, as the "$4" boosted sentiment toward the computing company. However, it has tumbled 35% since then to $26.77 at Friday's close.
The stock-price plunge and Berkshire's $4 have slashed the value of the conglomerate's stake from $5.5 billion at its peak to about $3 billion today.
Hewlett-Packard spun off the Hewlett Packard Enterprise Company in 2015, leaving its PC and printer business with the HP name. Prior to this month, Berkshire hadn't touched its HP stake since revealing it last spring. Buffett and his team have now cashed out over 10 million shares for close to $300 million in a matter of weeks.
It's not clear why Berkshire has decided to reduce its HP position, but Buffett and his colleagues have been streamlining their stock portfolio and bolstering their cash reserves for a while. They've sold a net $33 billion of stocks over the last three quarters, and also slowed their pace of buybacks and grew their cash pile by 13% to a near-record $147 billion $4.