Occidental Petroleum (OXY) dipped, and Warren Buffett bought more.
On Oct. 26, we noted, “The firm just bought another 3.9 million shares, increasing the stake to 228 million shares. All worth about $14.5 billion. That now gives Buffett a 25.8% stake in OXY. Like clockwork, Buffett and his team accumulated even more OXY stock on a recent pullback. Better, Buffett probably isn’t done building his stake in the company, given that Berkshire Hathaway has received the green light from regulators to own up to 50% of the company.”
Then, just this week, Berkshire bought another 10.5 million shares of $590 million.
Now holding about 238.5 million shares, Berkshire will probably buy even more on pullbacks. In addition to buying on weakness, “The purchases amount to a vote of confidence by Buffett in Occidental and its CEO Vicki Hollub after the company unveiled its $12 billion purchase of the privately held energy producer CrownRock,” says Barron’s.
From here, if the OXY stock drops again, Buffett’s firm is likely to buy even more.
