Denver Warren Buffett goes for pharmaceutical stocks. The head of conglomerate Berkshire Hathaway invested a total of $ 5.7 billion in four drug companies in the third quarter: AbbVie, Bristol-Myers Squibb, Merck und Pfizer. This emerges from a mandatory notification to the US Securities and Exchange Commission on Monday evening. The entry at Merck and Pfizer is new. Berkshire had previously held stakes in AbbVie and Bristol-Myers, but increased the shares.
Buffett was able to benefit from the latest good news regarding the corona vaccine. Pfizer reported promising study results last week which boosted both the company’s stock and stocks as a whole. Merck is also working on a corona vaccine.
For Buffett, it’s the first time in years that he’s back in the healthcare sector. The stakes are relatively small, however: Berkshire now owns 1.3 percent of Bristol-Myers, 1.2 percent of AbbVie, 0.9 percent of Merck and less than 0.1 percent of Pfizer. Berkshire’s $ 245 billion portfolio already includes stocks of Biogen, Johnson & Johnson, Teva and DaVita.
In addition, Berkshire rose at the Telekom subsidiary T-Mobile US a. In total, the group now holds papers worth $ 276 million.
In return, the 90-year-old, who is nicknamed the “Oracle of Omaha” for his good hand when investing, parted ways with bank titles. He reduced his stake in Wells Fargo. JP Morgan Chase and PNC Financial.
Buffett is buying significantly more again
Buffett was much more cautious in the first few months of the year in order to better assess the consequences of the pandemic. Recently, however, he became more active again. In the third quarter, Berkshire repurchased $ 9 billion worth of shares – more than ever.
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