Warren Buffett’s Berkshire Hathaway said on Wednesday that it has sold about 5.5 million shares of HP (NYSE:HP), unwinding part of what has been a large and unsuccessful investment in the personal computer and printer manufacturer.
Berkshire (NYSE:BRK.B) sold the shares this week for approximately $158 million, reducing its stake in HP to about $3.27 billion, according to a filing with the U.S. Securities and Exchange Commission.
Buffett’s company now holds about 11.7% of HP’s shares, down from 12.2% before the sales, SEC documents show.
Wednesday’s filing does not say why Berkshire sold the shares. Berkshire did not immediately respond to a request for comment after the market closed.
HP’s stock price has fallen 19% since Berkshire revealed an unexpected $4.2 billion stake in the Palo Alto, California-based company in April 2022, which had been separated seven years earlier from the former Hewlett-Packard.
That disclosure caused HP’s stock price to rise 14.8% the next day to $40.06. Shares closed down 61 cents at $28.33 on Wednesday.
On August 29, HP lowered its full-year profit forecast as it grapples with a year-long drop in personal computer sales and weak demand from China.
Then on Monday, HP disclosed material weaknesses in its financial reporting controls related to one of its customers and a payment request for some sales incentive programs.
Stock prices often rise when Berkshire discloses new holdings, reflecting investors’ regard for Buffett, the world’s fifth-richest person according to Forbes magazine.
Stock prices, on the other hand, sometimes fall when Berkshire discloses sales.
Buffett does not regularly invest in technology companies, although Apple, the iPhone maker, accounted for about half of Berkshire’s $353.4 billion stock portfolio at the end of June.
Berkshire is based in Omaha, Nebraska. It also owns dozens of companies, including the BNSF railroad and auto insurer Geico.