Berkshire Hathaway Sells another $21.6 Million of Moody's Shares (MCO)

In a filing with the SEC on Thursday, it was revealed that billionaire Warren Buffett's Berkshire Hathaway [BRK.A] has again reduced its stake in credit ratings agency Moody's Corporation (MCO).

Berkshire sold another 794,388 shares of Moody's Corp. stock, which leaves the giant holding company with a 16.6% stake in Moody's. Earlier in the summer, Berkshire had sold about 8 million shares.

The shares were sold with prices ranging from $26.30 and $27.74 per share. As of Wednesday, Berkshire had held about 39.2 million Moody's shares.

Moody's shares fell 24 cents, or -1%, in morning trading Friday.

The Bottom Line

We have avoided shares of MCO since our early June coverage began last year, when the stock was trading at $39.13. The company has a dividend yield of 1.65%, based on last night's closing stock price of $24.26. The stock has technical support in the $19-$21 price area. If the shares can rebound, we see overhead resistance around the $29-$30 price levels. We would remain on the sidelines for now.

Moody's Corporation (MCO) is not recommended at this time, holding a Dividend.com DARS Rating of 3.2 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

Related terms: dividend, investment opinion, prices, yield