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Warren Buffett's Berkshire Hathaway continues to boost its investment in Occidental Petroleum, acquiring an additional 763,017 shares valued at approximately $35.7 million on February 7. This move raises Berkshire's stake in the Houston-based oil and gas company to 28.3%, positioning it as Occidental's largest shareholder, according to Investors Business Daily.
Occidental's stock has experienced a significant downturn, plummeting nearly 32% since its peak in April 2023, largely due to declining oil prices that have affected the entire energy sector. Despite the challenges, Buffett remains optimistic, having previously increased his holdings by 8.9 million shares during market dips in December. Berkshire's investment in Occidental is also strategic, as it includes vital contributions to the company’s $55 billion acquisition of Anadarko Petroleum in 2019.
As of February 12, Occidental’s shares were priced at $47.83, with increasing focus on debt reduction and advancements in carbon capture technology. Buffett's sustained investment signals confidence in the company's long-term prospects, even as it navigates current market volatility.