Berkshire Hathaway: How To Think About Apple The Way Buffett Does

Seeking Alpha: Article 4576743 berkshire...

'Berkshire Hathaway's huge position in Apple Inc. reflects many Buffett principles: brand power, low capital needs, and finding growth in already large companies with good track records.
One principle is starting small while testing a premise, ramping up rapidly as premise is strengthened, and having prices in mind to stop buying or sell a bit.
Making Apple one of Berkshire's "big four" treats it as a subsidiary, meaning an intent to ignore price and focus on operating results including "look through" earnings.
Ignoring quarterly results, Buffett likely sees Apple as a combination of great management, solid growth, and optimal shareholder-friendly use of cash flow with large buybacks and small dividend.
Buffett's earlier model for Apple might be Coca-Cola: strong brand and management and a position now 94.5% cap gains with dividend yield of 55% on cost.'