Warren Buffett has sold about one third of his IBM shares. His investment company Berkshire Hathaway has sold off about 30 million shares out of approximately 80 million shares owned of IBM so far this year.
International Business Machines (IBM) is down about $3.50 a share today. IBM is trading at $155 per share. IBM was trading at just below $215 per share back in 2013, losing over 25% of its value since that time.
“I don’t value IBM the same way that I did 6 years ago when I started buying,” he tells CNBC. “I’ve revalued it somewhat downward … When it got above $180 we actually sold a reasonable amount of stock.”
Can IBM reinvent itself as it has done in the past? Maybe but I don’t believe it is possible under current leadership. While the name is attractive – the stock is not.
Thoughts or comments are welcome!