Berkshire unloads another chunk of Bank of America as CEO Moynihan lauds Buffett as great shareholder

Warren Buffett's Berkshire Hathaway offloaded different chunk of Bank of America shares, bringing its full income to much than $7 cardinal since mid-July and reducing its involvement to 11%.

The Omaha-based conglomerate shed a full of 5.8 cardinal BofA shares successful abstracted income connected Friday, Monday and Tuesday for astir $228.7 cardinal astatine an mean selling terms of $39.45 per share, according to a new regulatory filing.

The latest enactment extended Berkshire's selling streak to 12 consecutive sessions, matching the 12 consecutive sessions from July 17 to Aug. 1.

Berkshire has sold much than 174.7 cardinal shares of the Charlotte-based slope for $7.2 billion, with 858.2 cardinal shares remaining, oregon 11.1% of shares outstanding. BofA has fallen to the No.3 spot connected Berkshire's database of apical holdings, trailing behind Apple and American Express. Before the selling spree, BofA had agelong been Berkshire's 2nd biggest holding.

Buffett famously bought $5 cardinal worthy of BofA's preferred banal and warrants successful 2011 successful the aftermath of the fiscal crisis. He converted those warrants successful 2017, making Berkshire the largest shareholder successful BofA. The "Oracle of Omaha" past added 300 cardinal much shares to his stake astir 2018 and 2019.

BofA CEO Brian Moynihan made a uncommon remark astir Berkshire's income Tuesday, saying helium has nary cognition of Buffett's information for selling.

"I don't cognize what precisely he's doing, due to the fact that frankly, we can't inquire him. We wouldn't ask," helium said during Barclays Global Financial Services Conference, according to a transcript connected FactSet. "But connected the different hand, the market's absorbing the banal .... we're buying a information of the stock, and truthful beingness volition spell on."

Bank of America

Shares of BofA person dipped conscionable astir 1% since the commencement of July, and the banal is up 16.7% this year, somewhat outperforming the S&P 500.

Moynihan, who has been starring the slope since 2010, praised the 94-year-old's shrewd concern successful his slope successful 2011, which helped enactment up assurance successful the embattled lender struggling with losses tied to subprime mortgages.

"He's been a large capitalist for our company, and stabilized our institution erstwhile we needed astatine the time," helium said.

To exemplify however lucrative Buffett's concern has been, Moynihan said if investors were to bargain his slope banal the aforesaid time Buffett did, they would person been capable to seizure the debased terms of $5.50 per share. The banal past traded conscionable nether $40 apiece.

"He conscionable had the guts to bash it successful a large way. And helium did it. And it's been a fabulous instrumentality for him. We're blessed that helium gets it," Moynihan said.

— CNBC's Alex Crippen contributed reporting.