Warren Buffett's Largest Investment in Apple and Its Financial Strategy
Apple remains Berkshire Hathaway’s largest equity position, despite offering a modest dividend yield. Warren Buffett invested heavily due to the company’s ecosystem—where users remain loyal across devices like iPhones, MacBooks, and subscriptions—which drives recurring revenue with high margins. In fiscal Q3 ending June 2026, Apple reported $109.4 billion in revenue (up 16% YoY) and diluted EPS of $2.02 (up 29% YoY), marking its strongest performance for that period on record. The company has also expanded access to lower-cost products like the MacBook Neo ($599 base price) and introduced Apple Upgrade, a financing program with Klarna. Apple’s buyback strategy—$82 billion spent over four quarters through June 2026—has reduced its share count by ~45% since 2012. This has increased EPS per share, supporting future dividend growth potential despite the low yield of just 12% of expected earnings in 2026.
Tickers: $AAPL
Topics: Apple (AAPL) Berkshire Hathaway Dividend Investing Ecosystem Strategy Warren Buffett