The shares of HP were up by about 18 percent immediately when the news broke that Warren Buffet's company Berkshire Hathaway has initiated holding a major stake in it. Until now, Apple was the single biggest holding that helped the company in reaping billions of dollars since 2016.
Media coverage reveals Berkshire Hathaway bought about 121 million shares worth about $4.2 billion. Analysts are considering the buying as positive. With this, Warren Buffet once again enters the top 5 richest people list in the world. The four ahead of him are Elon Musk, Bill Gates, Jeff Bezos and Bernard Arnault.
The holdings surprised many as Warren earlier had avoided such stocks earlier. However, it is true the business tycoon studies the potential of a stock before buying.
Apple reported lately that HP will be sourcing 17-inch foldable panels for display units from LG to carry on further the display project with them. It is simultaneously known that HP has been in deals with Samsung, Intel and Microsoft for hybrid device projects.
This means HP may turn up as a leading OEM for foldable displays to device giants over the period of a couple of years from now if the initial products are gladly welcomed by consumers.
The move of Buffet to holding a major stake in HP reveals he is seeing the refreshed roadmap of HP that includes hybrid PC and 3D printers.
About Warren Buffet
Warren Buffet is a business magnate. He is simultaneously a philanthropist and investor. He was inclined towards the segment from a very young age. He started investing at the age of 11 and later became one of a highly successful investors. His net worth is more than $125 billion. The new data Bloomberg reveals he is the 5th wealthiest person in the world.
The chief executive of Berkshire Hathaway was born in 1830 in Nebraska, United States. He founded Buffet Partnership in 1956 that acquired Berkshire Hathaway, a textile manufacturing company, which was later molded into a diversified holding company and Charlie Munger joined as vice-chairman.
About Berkshire Hathaway
Berkshire Hathaway was initially named Valley Falls Company between 1839 and 1929. It was renamed Berkshire Fine Spinning Associates between 1929 and 1955 after being merged with Berkshire Cotton Manufacturing Company. Similarly, Hathaway Manufacturing Company was a different entity between 1888 and 1955. The two companies merged in 1955 and became Berkshire Hathaway.
The Valley Falls Company was founded by Oliver Chace in Rhode Island, US. The Hathaway Manufacturing Company was founded by Horatio Hathaway in New Bedford Massachusetts.