Warren Buffett fully supports Apple’s plan to buy back more of its own shares.
On Tuesday, the smartphone maker announced a new $100 billion stock buyback program.
“From our standpoint we would love to see Apple go down in price,” he said at the Berkshire Hathaway 2018 annual shareholder meeting on Saturday. “We very much approve of them repurchasing shares.”
Buffett explained for long-term investors if a company’s stock price goes lower, it’s a positive because shareholders and the company gets to acquire shares at cheaper prices.
Apple shares are up 8.6 percent this year.
The investor also said he didn’t see any obvious large acquisition candidates for Apple that will add to its earnings.
“I don’t see anything that would make a lot of sense for them,” he said.
The Oracle of Omaha revealed to CNBC that Berkshire bought an astounding 75 million shares of Apple during the first quarter. That adds to the 165.3 million shares Berkshire already owned at the end of 2017, making it one of Apple’s largest shareholders.
