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00:00:01
>> Call it the Buffett bump, every time billionaire investor Warren Buffet takes a bite out of Apple, the iPhone makers shares jump. On Friday, Apple stock rose nearly 4% in Friday morning trading, hitting a new record high after Buffett told CNBC that his Berkshire Hathaway added about 75 million more shares to its portfolio.
00:00:22
That brings the total to around 240 million shares with over $40 billion, and it makes Berkshire Hathaway Apple's second largest shareholder. Apple has been Berkshire's top holding since late last year. Reuters correspondent, Steven Nellis.>> So Warren Buffett is sort of famous for avoiding technology stocks. But what we see here is that in some way, Apple is no longer really a technology company.
00:00:45
It's a broad based consumer brand, like Coca Cola or Nabisco that has a fairly stable placement in most consumers lives. Whether that's through buying an iPhone, through buying a Mac, or some other mechanism. It has a place in most people's lives that is not changing a lot overtime, and it's actually expanding.
00:01:05
And I think that's probably what Warren Buffett is looking for.>> Buffett predicted last year that Apple would reach a trillion dollar valuation before his own company, Berkshire Hathaway. That would make it the first company to hit such a milestone. And with the latest valuation hovering around $900 billion today, Apple isn't too far from the mark.
00:01:24
As for Buffett, the 87-year-old can be found socializing this weekend at Berkshire's annual shareholder meeting in Omaha, Nebraska, Buffett's hometown.