00:00 Billionaire investor Warren Buffett has made some new moves in the market. His company,
00:06 Berkshire Hathaway, sold over 4.7 million shares of HP at an average price of $26.98 per share.
00:14 This move is a significant divestment of the company's holdings in HP.
00:19 What is Warren telling us here, Dennis?
00:22 Warren's telling us he don't want to own stocks. He hasn't really bought anything of
00:29 significance here. And why is he selling? Why is he now so nervous on HPQ? What is up here?
00:36 Because now he's sold again. And I forget who said it in the chat, but props to the person who
00:40 said in the chat. Because when he came out with the first sale, and I'm like, that's pretty
00:43 significant. But he was saying he's probably not selling all at once. And now another sale comes in.
00:47 So that means he's slowly trying to liquidate. And he's selling this HPQ at a loss. Because this
00:52 thing, where it is at, is almost at a 52-week low. And he was buying the stock recently. So,
00:57 I mean, he's selling it at a loss. And you know what else with HPQ? Go to your trusty Benzinga Pro.
01:02 Go in details. Type in HPQ. The PE on HPQ is 11. The forward PE is 7. This stock is ridiculously
01:12 cheap relative to the market. But is it cheap for a reason? Is it that PC demand is going to fall
01:17 off a cliff? Is it that consumer demand, which we've been talking about, another one of these
01:22 things? Well, I'm not going to go buy a new computer next week because I don't feel like
01:26 dropping the thousand bucks. Again, this is a kind of a discretionary purchase, not for everyone,
01:30 but for some people. It's like, I don't need to. And that's why I think you're going to have with
01:34 this Apple upgrade cycle that they were all pumping. I don't think it's going to be a little
01:38 bit of a disappointment coming here too because of consumer demand. But I mean, HPQ, Warren's
01:43 selling this. Warren is smarter than most of us. And I would say the majority of investors out
01:48 there. And he's nervous. He hasn't bought much. He's nervous. Makes me nervous.
01:54 Yeah. He sold 5.5 million shares, sold between June 30th and now into September 13th. And so
02:05 in between there, the average price was 2881. And you just mentioned it there. His average buy price,
02:11 at least calculated by hedge follow, is around 3578. So he's down about 25% in this position.
02:19 And he's selling at the loss. He doesn't often sell at the loss.
02:21 And he's willing to get rid of it. And so there's a reason why.
02:25 He's nervous about something. He's nervous about something and maybe he's correct. And I mean,
02:28 he sold the airlines at a bad time. So he has made mistakes before. But this doesn't make me feel all
02:34 like, "Oh, it's not like Warren's backing up the truck and buying stocks here." We're not seeing
02:37 him buy anything. He hasn't bought much. He's been sitting with a huge amount of cash too.
02:41 You know what? He listens to pre-market prep. Well, our opinion is derived from Warren action
02:47 as well. I mean, you can look at it, but there's just a lot of things that just don't make a hell
02:51 of a lot of sense here. From a business investment standpoint, stocks are just a business investment.
02:56 It doesn't make sense on certain things. I don't understand. You know what would be really though,
03:00 mess up this market? You want to know what would really mess this market up?
03:03 Is if we saw any filing of him selling any portion of Apple. Because the one thing when he's so high,
03:10 when he's got the 10%, when you're over 10%, you got to disclose within like that 48 hour period.
03:15 I think it's something, it might be 72 hours, but you got to disclose. You can't wait the 45 days.
03:19 So that's why we're seeing the HPQ because he's over 10% ownership. So he has to disclose it
03:23 within like that 48 to 72 hour period. If we saw filing where he sold any shares of Apple,
03:30 what would Apple do that day? What would Apple do? If we saw that Warren Buffett sold any shares of
03:36 Apple, like one filing just sold some shares of Apple. What do you think Apple does that day?
03:40 I think it falls 5% on that filing. I think it gets hammered. He owns so much Apple, man.
03:49 I'd be nervous. I want to go into his account and sell his Apple for him. I am so nervous on Apple.
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