Surprise! Warren Buffett Just Bought a Semiconductor Stock
Followers of Warren Buffett know he's generally averse to technology stocks. Buffett typically takes big positions, and therefore seeks a high bar in terms of both valuation and conviction.
Since Buffett has admitted he's a novice when it comes to technology, it's no surprise to see few tech stocks in his portfolio, which totaled nearly $300 billion as of the third quarter. While Apple (NASDAQ: AAPL) is Berkshire Hathaway's (NYSE: BRK.A) (NYSE: BRK.B) largest holding, Buffett has said he sees that more as a consumer brand than a technology stock.
If tech stocks are typically avoided, that goes double for semiconductor stocks. Semiconductors are known to be cyclical, with frequent technology disruption being more of a rule than an exception.
Source Fool.com
