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Berkshire Hathaway Nearly Halves HP Stake to 5.2%

Dow Jones2023-12-12

Warren Buffett's Berkshire Hathaway has reduced its stake in HP Inc., the maker of printers and personal computers, by 47% to 5.2% in the past two months, according to a Form13 -G filing late Monday.

In the filing, Berkshire said it held 51.5 million shares of HP on Nov. 30, down from 97.9 million shares, or 9.9%, on Oct. 3, two day before the dates of its most recent prior filing.

The Berkshire stake is now worth about $1.6 billion. HP shares were up 3% at $30.37 Monday and down 1% in after-hours trading.

Berkshire had been selling HP shares during September and early October after accumulating a roughly 12% interest in the company in 2022. Berkshire had to make filings within two business days of its sales during that period because it held more than 10% of HP stock.

When Berkshire dropped below 10% in early October, that two-day filing requirement ended. As a 5% holder of HP, Berkshire needs to periodically file a form 13-G form. That requirement appears to have prompted the filing Monday.

When Berkshire sharply reduces a once sizable position in a company's equity, it often ends up eliminating the holding entirely. That has been the case with positions in U.S. Bancorp and other stocks. If Berkshire follows the same pattern, that could mean more HP sales in the coming weeks.

HP shares have shrugged off the Berkshire sales to date. The stock is up about 15% in the past two months.

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Comment1

  • blessed_1
    ·2023-12-12
    Good or bad news? Does this mean HP is no longer good to hold on?
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