Warren Buffett likes Bank of America even more

Warren Buffett seems to be liking Bank of America a little bit more these days and boosted his holdings to show it.

Continue Reading Below

On Thursday, Berkshire Hathway reported the stake in the bank is now 950 million shares, 6 percent more than what it was in March. Additionally, the stake now exceeds 10 percent. Bank of America shares have gained 23 percent this year.

TickerSecurityLastChangeChange %
BACBANK OF AMERICA CORP.31.20+0.18+0.58%
WFCWELLS FARGO & COMPANY50.62+0.16+0.32%
JPMJP MORGAN CHASE & CO.124.79+1.24+1.00%
USBU.S. BANCORP INC.56.65+0.46+0.82%
PNCPNC FINL SVC145.46-0.07-0.05%
BKTHE BANK OF NEW YORK MELLON CORP.46.14+0.47+1.03%
TRVTHE TRAVELERS COMPANIES INC.130.15-11.76-8.29%

Buffett is no stranger to the banks. In February, the conglomerate disclosed in regulatory filings that it purchased more shares of Bank of America, U.S. Bancorp, JPMorgan Chase, PNC Financial, Bank of New York Mellon and Travelers in the fourth quarter. He is also the largest investor in Wells Fargo.

As Buffett loads up on banks, the Federal Reserve is preparing to cut interest rates, perhaps at the July meeting. Lower interest rates hurt margins at the banks, as opposed to higher rates which are beneficial to most financial institutions.

In a July interview, Bank of America CEO Brian Moynihan discussed the ongoing U.S. economic expansion and what can keep it humming along.

CLICK HERE TO GET THE FOX BUSINESS APP

“First you have to get the USMCA [U.S.-Canada-Mexico Agreement] through,” he told Maria Bartiromo during an exclusive interview on “Sunday Morning Futures." “Because at the end of the day we have to stabilize our relationship with our north and south partners and because it’s good for all the countries -- they got a deal worked out. They just [have to] push it through.”