OMAHA, Neb. (AP) — Investor Warren Buffett says his company bought $10.7 billion of IBM stock this year, about a 5.6 percent stake.
Buffett revealed the new investment during an interview on CNBC Monday. Buffett's company, Berkshire Hathaway Inc., will file a full quarterly update on its U.S. stock portfolio Monday afternoon.
Buffett has long refused to invest in high-tech companies because he it's too difficult to predict which technology businesses will prosper in the long run.
Buffett says he recently changed his view of IBM's role in industry. So Berkshire bought about 64 million shares since March, or about 5.6 percent of IBM.
Buffett says he believes IBM has a sound plan for the future.
IBM shares rose $1.62 to $189 in premarket trading after rising as high as $190.55 earlier.
Besides investments, Berkshire owns roughly 80 subsidiaries including insurance, railroad and utility firms.