Berkshire to see boost from bank dividend hikes

|About: Berkshire Hathaway Inc (BRK.A)|By:, SA News Editor

Berkshire Hathaway (BRK.A, BRK.B) has a larger allocation to financials in its equity portfolio than any other industry and stands to rake in $123M more this year than last thanks to increased dividends at Wells Fargo, American Express, and U.S. Bancorp, among other smaller holdings like Goldman Sachs and BNY Mellon (though Goldman actually hasn't made an announcement yet). Berkshire also has a large preferred stake and warrant holdings in Bank of America, effectively making it one of the bank's largest shareholders.

The dividends won't make a huge dent in Berkshire's cash pile of over $48B, and Buffett is surely enjoying stock appreciation and the boosted buybacks - which effectively raise his ownership stake - even more.