But for buy-and-hold investors, Berkshire's big move into Apple - 57.4 million shares as of December 31, up from 15.2 million at the end of September - can be instructive nonetheless.
The filing, released after Tuesday's closing bell showed Buffett's Berkshire Hathaway spent $2.15 billion on 43.2 million shares of Southwest Airlines. Berkshire also cut its Walmart holdings by 89.3 percent, dissolved its share stake in Now Inc, and increased its holdings of Delta Air Lines to 60 million shares from 6.3 million. "Buffett clearly did not believe that scenario", Cramer said on "Squawk on the Street".
Buffett's rising interest in Apple does come as a surprise, considering his reluctance towards technology stocks, which, according to him, are outside his zone of competence, except for International Business Machines Corp. It formerly owned more than 15 million shares of Verizon, but now has just 928. Buffett's conglomerate nearly quadrupled its stake in Apple and increased holdings sevenfold in the four biggest U.S. airlines.
By the end of the year, Buffett's Berkshire Hathaway Inc. The disclosure about the new stake in Apple, made last May, coincided with a period when Apple's shares were on the downswing and sparked wide speculation that Buffett was calling a bottom in the stock. That investment got attention when it was first disclosed previous year because Buffett has always been reluctant to invest in technology companies.More news: Cisco Systems, Inc. (NASDAQ:CSCO) Expected To Report Earnings On Wednesday
Larger Berkshire investments such as Wells Fargo & Co, Coca-Cola Co and International Business Machines Corp are normally Buffett's, but the 86-year-old billionaire has given his deputies Todd Combs and Ted Weschler more to invest over the years. They now have a United States dollars 281500 price target on the stock.
Such increases often occur when investors perceive that Berkshire has given a company its imprimatur.
His comment comes after Berkshire almost quadrupled its stake in Apple last quarter.