Warren Buffett on Apple's stock problems

The Oracle of Omaha is no longer in the top three.

Photo by Bloomberg

Berkshire Hathaway's Warren Buffett offered up his take on Apple's stock woes on Squawk Box Monday morning.

Sponsored Links
	Launch Your Business Idea Successfully Learn to Research, Finance & Market your Entrepreneurial Idea with a MS Degree! www.fullsailuniversity.com
	Sony HDTVs for Business Make Your Business More Inviting. Installation Available! store.sony.com/HDTV
Get Listed Here

Shana Lynch: Managing Editor- Silicon Valley Business Journal; Email | Twitter | Google

Berkshire Hathaway CEO and business oracle Warren Buffett spoke on CNBC’s Squawk Box Monday in a three-hour interview. Among many items he covered, he offered a few tips to Apple, including advice he once gave former CEO Steve Jobs that could easily apply to current CEO Tim Cook as well: Buy back that stock.

The comments (transcribed by Barron's) came on Buffett’s advice for David Einhorn, the shareholder who recently filed - and essentially won - a lawsuit against Apple.
Buffett, a well-known investor (though not in Apple), on Einhorn? “I would ignore him.”
Buffet said, “You can’t run a business to push the stock price up on a daily basis. Berkshire has gone down 50 percent four times in its history. When that happens, if you’ve got money, you buy it.”
He added that he thinks the Cupertino tech giant has done a good job building value. It might have too much cash, he said, but he also points out two-thirds of it hasn’t been taxed yet.
“When Steve (Jobs) called me, I said, ‘Is your stock cheap?’” Buffett said. “He said, ‘Yes.’ I said, ‘Do you have more cash than you need?’ He said, ‘A little.’ I said, ‘Then buy back your stock.’ He didn’t.”
“But if you could buy dollar bills for 80 cents, it’s a very good thing to do.”
Read more of the transcript here.

Shana Lynch is Managing Editor at the Business Journal. Her phone number is 408.299.1831.

We recommend

Macy's CEO says 'sick to my stomach' over Martha Stewart deal BizJournals
Long-rumored Trader Joe's deal is dead BizJournals
iWatch could make more than Apple TV BizJournals
Best Buy getting tougher with vendors BizJournals
The Valley's richest people BizJournals

From around the web

Baby Buffett Portfolio: His 6 Best Long-Term Picks Investopedia
The future of gold Business Without Borders
8 College Degrees with the Worst Return on Investment Salary.com
Why You Should Cancel Your Cell Phone Contract Daily Finance
8 Habits of Remarkably Successful Entrepreneurs Rank Executives

What's this?

Comments

If you are commenting using a Facebook account, your profile information may be displayed with your comment depending on your privacy settings. By leaving the 'Post to Facebook' box selected, your comment will be published to your Facebook profile in addition to the space below.