Buffett's Apple Bet Pays Off Big Time
Warren Buffett's investment in Apple has been a resounding success. The billionaire investor first took notice of Apple in 2016 after seeing how distraught one of his close friends became when he thought he had lost his iPhone.
Buffett was impressed by Apple's strong brand and innovative products, which have consistently captured market share. In fact, according to Counterpoint Research, Apple controlled 54% of the U.S. smartphone market in the second quarter, with a global market share of 21%. Despite its impressive growth, Buffett has sold some of his Apple shares in recent years, but it still accounts for 20% of Berkshire Hathaway's stock portfolio.
Buffett's investment strategy is centered around identifying companies with strong brands and pricing power. He has a knack for choosing companies that can benefit from incredible brands, such as Coca-Cola, American Express, and Alphabet. Apple's brand strength and ability to innovate have made it an attractive choice for Buffett.