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Apple Stock Slides as Buffett Trims Stake and Patent Loss Hits $634 Million

MarketDash Editorial Team
21 days ago
Apple shares are down Monday after Warren Buffett's Berkshire Hathaway cut its position by 15% and the tech giant lost a major patent case over Apple Watch blood-oxygen sensors, resulting in a $634 million penalty.

Apple Inc. (AAPL) is having one of those Mondays where bad news comes in pairs. Shares are down more than 1% after a double dose of unwelcome headlines hit over the weekend.

Buffett Takes Another Bite Out of His Apple Position

Warren Buffett's Berkshire Hathaway trimmed its Apple holdings by about 15% during the third quarter, according to an SEC filing released Friday. The Oracle of Omaha cut his position to approximately 238.2 million shares, continuing a pattern of selling that's been raising eyebrows on Wall Street.

Here's the thing though: even after the haircut, Apple still sits as Berkshire's largest holding. So while the selling pressure is real, it's not exactly a vote of no confidence.

Meanwhile, Berkshire was buying elsewhere. The firm picked up 17.85 million shares of Alphabet during the same period, a position worth just under $5 billion. Make of that what you will.

A $634 Million Patent Problem

As if the Buffett news wasn't enough, Apple also got hit with a significant legal setback. A jury found the company guilty of infringing on Masimo Corporation's patents related to blood-oxygen sensors in Apple Watches. The damage? A $634 million penalty.

The dispute has been dragging on since 2023, and now Apple has a hefty bill to show for it. Not exactly the kind of innovation recognition the company was hoping for.

What the Charts Say

Despite Monday's pullback, Apple's technical picture remains relatively healthy. The stock is trading about 5.2% above its 50-day moving average of $255.92 and roughly 19.5% above its 200-day moving average of $225.37. Both suggest the medium and long-term trends are still pointing up.

The relative strength index sits at 64.22, landing in neutral territory—neither overbought nor oversold. Support has established itself around $266.77, while immediate resistance waits at $276.69, just below the 52-week high. That resistance level could be the key battleground if bulls want to push for new highs.

The Bottom Line

Apple shares were down 1.14% at $269.31 at the time of publication Monday. The stock is trading within a 52-week range of $169.21 to $277.32, still near the upper end despite today's weakness.

Back to News

Apple Stock Slides as Buffett Trims Stake and Patent Loss Hits $634 Million

MarketDash Editorial Team
21 days ago
Apple shares are down Monday after Warren Buffett's Berkshire Hathaway cut its position by 15% and the tech giant lost a major patent case over Apple Watch blood-oxygen sensors, resulting in a $634 million penalty.

Apple Inc. (AAPL) is having one of those Mondays where bad news comes in pairs. Shares are down more than 1% after a double dose of unwelcome headlines hit over the weekend.

Buffett Takes Another Bite Out of His Apple Position

Warren Buffett's Berkshire Hathaway trimmed its Apple holdings by about 15% during the third quarter, according to an SEC filing released Friday. The Oracle of Omaha cut his position to approximately 238.2 million shares, continuing a pattern of selling that's been raising eyebrows on Wall Street.

Here's the thing though: even after the haircut, Apple still sits as Berkshire's largest holding. So while the selling pressure is real, it's not exactly a vote of no confidence.

Meanwhile, Berkshire was buying elsewhere. The firm picked up 17.85 million shares of Alphabet during the same period, a position worth just under $5 billion. Make of that what you will.

A $634 Million Patent Problem

As if the Buffett news wasn't enough, Apple also got hit with a significant legal setback. A jury found the company guilty of infringing on Masimo Corporation's patents related to blood-oxygen sensors in Apple Watches. The damage? A $634 million penalty.

The dispute has been dragging on since 2023, and now Apple has a hefty bill to show for it. Not exactly the kind of innovation recognition the company was hoping for.

What the Charts Say

Despite Monday's pullback, Apple's technical picture remains relatively healthy. The stock is trading about 5.2% above its 50-day moving average of $255.92 and roughly 19.5% above its 200-day moving average of $225.37. Both suggest the medium and long-term trends are still pointing up.

The relative strength index sits at 64.22, landing in neutral territory—neither overbought nor oversold. Support has established itself around $266.77, while immediate resistance waits at $276.69, just below the 52-week high. That resistance level could be the key battleground if bulls want to push for new highs.

The Bottom Line

Apple shares were down 1.14% at $269.31 at the time of publication Monday. The stock is trading within a 52-week range of $169.21 to $277.32, still near the upper end despite today's weakness.