Never put all your eggs in one basket...............
Great advice, but that is not quite what happened here.
BRK bought into AAPL a few years ago, and it was a much lower percentage of its total holdings. So they didn't put all their eggs in one basket. BUT AAPL grew much faster than the other baskets.
So, if you look at cost basis everything is good. If you look at current value AAPL is way too much.
I think Peter Lynch once said something about watering your weeds and pulling your flowers. If BRK had sold off AAPL in order to reduce its fraction of their total portfolio they would now be poorer than they are.
One bad apple....
But seriously, this has happened to a lot of people over the past couple of years.
And they think, “This will go on forever.”
And then it doesn’t. One bad quarter for Apple and Google and we are in big trouble. Those stocks (and the other FANG stocks) are inflating the markets so much that they are priced for perfection.
As we know, very little is perfect.
The crash for those people will be magnificent.
Folks in Omaha will be seriously pissed.
Shopify Inc. (SHOP)
A e-commerce company. They do the shopping cart and checkout when someone buys something.
The last 4 months it more then tripled in price......
$322 to today at $1,017
I had it in my list of stocks to watch but thought is was too expensive compared to my AMD stock. If I bought I could have quit my job!
I hope AMD will become like Nvidia which doubled in these last 4 months.
$196 to $408