Warren Buffett, who is the ninth richest man in the world, posted record wealth gains as the Apple stock price soared north, pushing his net worth to $112 billion. Buffett’s net worth has grown by $3.55 billion year to date.
Apple’s $3 trillion market valuation may be the result of the 91-year-old billionaire’s out-of-character bet he made on the tech giant, as Buffett’s company, Berkshire Hathaway made over $160 billion in earnings on paper as the company topped another record this week.
The net worth of Warren Buffett can purchase 61.9 million troy ounces of gold or 1.41 billion barrels of crude oil.
A stake of $36 billion in Apple was acquired by Berkshire Hathaway in mid-2018. In 2016, the company began purchasing Apple stock, and by mid-2018 it owned 5% of the iPhone maker. With the huge rally continuing into 2022, Apple’s investment now has a value of $160 billion.
In addition to Apple’s impressive share price appreciation, Berkshire has also enjoyed its hefty payouts. Over the past few years, Berkshire has enjoyed regular dividends, averaging $775 million per year.
Todd Combs and Ted Weschler, who are among Buffett’s investment assistants, helped him warm up to the sector in the last decade, despite his aversion to high-flying tech stocks. Outside of index fund providers and exchange-traded fund providers, the conglomerate owns the largest stake in Apple.
Among Apple Berkshire’s businesses, billionaire investor, Buffett, has referred to it as the “third-largest company” after its insurance company and railroad company. The iPhone, according to Buffett, is a highly “sticky” product, keeping people within the Apple ecosystem.
Buffett’s fortune comes mostly from Berkshire Hathaway, a publicly traded investment company that owns a 16% economic interest.
According to its 2021 letter to shareholders, Berkshire has experienced compounded annual gains in its share market value of 20% since 1965. A June 2021 stock exchange filing states that Buffett owns 39% of the Class A shares and less than 0.001% of the Class B shares.
Additionally, the billionaire owns stakes in other companies. In their proxy statements, he has stakes in Wells Fargo and U.S. Bancorp of less than 1% and almost 5% respectively in Seritage Growth Properties.