Berkshire Hathaway Trims Position as Bank of America Q4 EPS Hits $0.98
Berkshire Hathaway reduced its Bank of America stake further in Q4 while the bank reported Q4 EPS of $0.98 versus $0.95 estimate, driven by 10% net interest income growth to $15.92B. Shares edged down 0.1% since earnings despite a $28.37B revenue beat and guidance for 5-7% net interest income growth.
1. Berkshire’s Q4 Stake Reduction
13F filings show Berkshire Hathaway reduced its Bank of America stake in the fourth quarter, following incremental trimming in prior periods and suggesting a shift in its portfolio allocation away from BAC shares.
2. Strong Q4 Earnings Outperform Estimates
Bank of America reported Q4 EPS of $0.98, topping the $0.95 consensus, powered by 10% year-over-year net interest income growth to $15.92 billion and a revenue beat at $28.37 billion, while trading and advisory fees supported non-interest income gains.
3. Stock Reaction and 2026 Guidance
Shares have slipped 0.1% since the earnings release, even as the bank repurchased $6.3 billion of shares and guided 5-7% net interest income growth for 2026, with expected other income of $100-$300 million per quarter and 200 bps operating leverage.