The Oracle of Omaha, Warren Buffett, admitted on Monday he knew less than he thought about Oracle Corp, the company overseen by fellow billionaire Larry Ellison.
Investors were flummoxed earlier this month when Buffett`s company, Berkshire Hathaway Inc, revealed that during last year`s fourth quarter it had exited a $2.13 billion stake in Oracle that it had taken the prior quarter.
It is rare for Berkshire, which owns some stocks for decades, to unwind an investment so fast. It is also rare for Berkshire to make large investments in the technology sector.
Speaking on CNBC television, Buffett recalled his unsuccessful investment in International Business Machines Corp in determining that Oracle, the company, wasn`t for him, though Ellison had done a "fantastic job" running it.
"After I started buying it, I felt I still didn`t understand the business," Buffett said. "Particularly after my experience with IBM, I don`t think I understand exactly where the cloud is going."
The Oracle of Omaha is a nickname that Buffett`s fans often use for him. His conglomerate is based in Omaha, Nebraska.
Berkshire said it ended the year with $172.8 billion of stocks, including $40.3 billion in iPhone maker Apple Inc, which Buffett views more as a consumer company.
He said the total may rise in 2019 because it has become tough to buy whole companies to add to Berkshire`s portfolio of more than 90 businesses, including the Geico auto insurer and BNSF railroad.
It is unclear why Berkshire`s annual report on Saturday omitted a previously included section called "acquisition criteria," including that Berkshire preferred "simple businesses (if there`s lots of technology, we won`t understand it)."
Buffett and longtime Vice Chairman Charlie Munger ceded day-to-day oversight of Berkshire`s operating units last year to Vice Chairmen Greg Abel and Ajit Jain.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES

Revised New Tax Slabs: How much tax one needs to pay on salaries of Rs 13.75 lakh, Rs 16.50 lakh, Rs 19.25 lakh and Rs 26.75 lakh; see calculations

Top 7 SBI Mutual Funds With Highest SIP Returns in 20 Years: Rs 6,666 monthly SIP investment in No. 1 fund has sprung to Rs 1,40,40,685

Senior Citizen Guaranteed Return Schemes: SBI, BoB, PNB and other banks are providing these interest rates on 1-year, 3-year, and 5-year FDs

Home Loan Interest Saving: How you can save Rs 16.40 lakh on Rs 50 lakh home loan by increasing EMI amount by 5.41%?

Rs 25 lakh Income, Rs 50 lakh Home Loan: Starting April 1, how you can save Rs 1.38 lakh/year in tax and loan interest; see expert calculations

SIP vs PPF: Rs 1,40,000/year investment for 30 years; which scheme can generate a higher retirement corpus

Retirement Planning: How one-time investment of Rs 9,00,000 can create Rs 2,70,00,000 retirement corpus
09:14 PM IST