Warren Buffett is Selling These 3 Stocks in 2022

1. Bristol-Myers Squibb Company (NYSE:BMY)

Number of Hedge Fund Holders: 66

Stake Discarded in Q1 2022: 100%

Bristol-Myers Squibb Company (NYSE:BMY) is a New York-based biopharmaceutical company, offering drugs and therapies for hematology, oncology, cardiovascular, immunology, fibrotic, neuroscience, and COVID-19 diseases. 

In the first fiscal quarter of 2022, Berkshire Hathaway sold out of its Bristol-Myers Squibb Company (NYSE:BMY) stake entirely. The hedge fund first invested in the stock in Q3 2020, buying almost 30 million shares at an average price of $60.19 per share. 

On April 29, Bristol-Myers Squibb Company (NYSE:BMY) reported earnings for Q1, posting an EPS of $1.96, beating estimates by $0.07. The revenue of $11.65 billion also exceeded market consensus by $308.41 million. 

Wells Fargo analyst Mohit Bansal on May 17 raised the price target on Bristol-Myers Squibb Company (NYSE:BMY) to $70 from $65 and maintained an Equal Weight rating on the shares. The analyst sees long-term challenges with the stock, which has outperformed year-to-date primarily due to the surge in value stocks. The analyst also told investors that the new product portfolio could miss the mark of $10 billion-$13 billion by 2025.

In Q1 2022, John Overdeck and David Siegel’s Two Sigma Advisors reported a significant Bristol-Myers Squibb Company (NYSE:BMY) stake, with 4.3 million shares worth $318.4 million. Overall, 66 hedge funds held long positions in the company in Q4 2021. 

Here is what Saturna Capital Amana Funds has to say about Bristol-Myers Squibb Company (NYSE:BMY) in its Q4 2021 investor letter:

“Given the likelihood of rising inflation and interest rates ahead, we anticipate adjustments to the portfolio to reduce exposure to highly valued stocks dependent on low interest rates to support terminal year valuations, while seeking investments in companies more correlated with a return to economic normalcy. We sold our positions in Bristol Myers. We believe there are better opportunities than Bristol in pharmaceuticals.”

You can also take a look at Top 10 Small-Cap Stocks Added to Billionaire Mario Gabelli’s Portfolio and 10 Finance Stocks to Buy Today According to George Soros’ Soros Fund Management.

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