Paramount shares are up about 14% after Buffett’s Berkshire revealed a new holding
In this photo illustration, the Paramount + (Paramount Plus) logo is seen on a smartphone in the background of its website.
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The stock was up 14% around 9:40 am ET.
Berkshire bought 68.9 million shares of Paramount to build a $ 2.6 billion holding as of the end of March, according to a regulatory filing released Monday.
Paramount was Berkshire’s 18th largest holding at the end of the first quarter. The new stake adds another streaming property to Berkshire’s portfolio, whose main stake is Apple.
The media company in February renamed from ViacomCBS to Paramount in an effort to emphasize its flagship Paramount + streaming service. While Paramount missed earnings expectations latest quarterly reportParamount + added 6.8 million subscribers in the first quarter.
Paramount shares are beating the market this year, down 7.2% from the S&P 500’s 14.9% drop.
It is unclear whether the purchase of Paramount stock came from Buffett or one of his deputies to investors, Todd Combs and Ted Weschler. Combs and Weschler independently manage approximately $ 30 billion of the conglomerate’s equity portfolio. In recent years, Berkshire has bought a slew of tech names including Apple and Activision under their influence.
Berkshire also added new episodes in HP and Citigroup during the first quarter, among other changes to its equity portfolio
—Yun Li of CNBC contributed to the reporting.