Many are wondering why Warren Buffet has invested in technology. Also, Buffet's own company, Berkshire Hathaway spent a hefty 9.8 million venture with Apple had raised alarms and more queries as well regarding the stakes worth the risks, since Buffet has been speculated to take part in the Yahoo Bid.
Warren Buffet is a well-known investor that invests with much thought and expertise. He is also noted to not deviate from his comfort zone and with his affirmed ventures with Apple, the investors are voicing out their apprehensions.
According to ABC News, "Investors might question Warren Buffett's long-standing aversion to tech stocks after his Berkshire Hathaway bought 9.8 million shares of Apple since Buffett has always avoided technology companies because he said it was too hard to pick which ones would prevail long term, although he made an exception to that rule to buy a major IBM stake in 2011."
The stake comes with the company's shares under considerable pressure and billions in value have been wiped from the books since Apple reported a sizable drop in iPhone sales in late April since shares were down 15 percent over the past month, as well as jumped nearly 4 percent Monday, reports the same post.
Buffet's business dealings and investments do no consistently consider technology, which is why his present move has sparked much awareness. It has also been noted that Buffet is presently considering the Yahoo bid but it remains unsettled and should be taken with a grain of salt in mind.
Nevertheless, Buffet aims on becoming a potential financing partner for Quicken Loans founder Dan Gilbert's bid. Excluding Apple, Buffet has been known to have poured his money over companies such as Geico insurance, Wells Fargo, Coca-Cola, American Express and even See's Candy.
As to the reason why Warren Buffet ventured with Apple along with his own Berkshire Hathaway as well as spending a hefty 9.8 Million, lies on Buffet alone. Although it has not been fully affirmed that he will buy Yahoo, the notions are rising along with the queries on the stakes worth the risk and expenditures.