Shares of Apple were contributing about 30-points to the price-weighted Dow after a report from CNBC late Thursday said Warren Buffett's Berkshire Hathaway Inc. acquired some 75 million additional shares of the iPhone maker during the first quarter.
The big bet of Warren Buffett on Apple has just got more bigger in comparison. Visit MarketWatch.com for more information on this news. At that point in time, no one bothered to question how many BlackBerry devices the company would sell in any one given quarter.
Up to Thursday's close, Apple stock had risen more than 5 percent since Berkshire disclosed on February 14 that it had raised its stake in the Cupertino, California-based company. Berkshire Hathaway was buying shares in Q1 despite speculation that the iPhone X was performing poorly and Apple had dwindled down production.
Apple shares are up 4.5% this year and were 1.1% higher at $178.90 in pre-market trading early Friday.
Buffett has also recoiled away from financing in technology companies. The rally came even as iPhone sales fell slightly short of Wall Street's expectations.
He also said in an interview to the sources that, "Apple has an extraordinary consumer franchise. [IPhone] is a very sticky product". His investment in Apple in the first three months of 2018 totaled roughly $12.5 billion to more than $13 million. It was worth over $17 billion at that time and today it holds 240.3 million shares worth $42.5 billion.