In a surprising move, Warren Buffett’s Berkshire Hathaway has significantly reduced its holdings in tech giant Apple, as revealed in its second-quarter earnings report released on Saturday. The conglomerate slashed its stake by nearly 50%, reducing its shares from 790 million to 400 million, resulting in a valuation drop to $84.2 billion. This sharp sell-off is notable given Buffett’s long-standing strategy of holding onto stocks for extended periods.

This isn’t the first time Berkshire has downsized its stake in Apple. In the last quarter of 2023, the firm sold 10 million shares, representing about 1% of its holdings. Earlier in the first quarter of 2024, Berkshire reduced its Apple shares by 13%.

In addition to the Apple sell-off, Berkshire Hathaway reported a record cash pile of almost $277 billion for the second quarter, up from $189 billion in the previous quarter. The company also cut its stake in Bank of America, its second-largest position, down to $41.1 billion.

The earnings report highlighted that 72% of Berkshire’s aggregate fair value is concentrated in five companies: American Express ($35.1 billion), Apple ($84.2 billion), Bank of America ($41.1 billion), Coca-Cola ($25.5 billion), and Chevron ($18.6 billion).