Warren Buffett, the renowned investor and CEO of Berkshire Hathaway, has been steadily selling Bank of America (NYSE: BAC) shares in significant amounts. In recent transactions, Berkshire Hathaway unloaded approximately 5.8 million BAC shares, valued at $228.65 million, between September 6 and September 10. This selling spree began back in mid-July and has totalled over $7 billion in trades, reducing Berkshire’s stake to 11.1% with around 760 million BAC shares still held, worth $33.5 billion.
Despite the speculation surrounding Buffett’s motives for selling off Bank of America stocks, with some suggesting a shift away from the finance sector due to uncertainties in the macro landscape, Wall Street analysts maintain a positive outlook on BAC shares. They rate it as a ‘moderate buy,’ projecting an average price target of $45.41 over the next 12 months, which indicates a potential 16.56% increase from the current price.
The current pre-market price of BAC stock is $38.96, reflecting fluctuations in recent days and weeks. Although Buffett’s divestment from Bank of America aligns with his history of withdrawing from the U.S. banking sector, having previously sold positions in various other banking institutions, Wall Street analysts remain optimistic about the future performance of BAC shares.
Please note that the information provided does not constitute investment advice, and investing in stocks carries inherent risks.