Bank Stock Slides as Buffett Dumps More Shares

Berkshire Hathaway dumped millions of Bank of America shares last month

Laura McCandless

Deputy Editor

Aug 20, 2024 at 3:03 PM

Shares of Bank of America Corp (NYSE:BAC) are in the spotlight today, after a regulatory filing revealed Warren Buffett's Berkshire Hathaway (BRK.A) decreased its stake further, after dumping millions of shares in July. Over the past few days, the multinational conglomerate sold 13.9 million shares for $550.7 million, putting its stake at 11.9%.

At last glance, BAC was down 2.2% at $38.78, only eyeing its second daily loss in 10 trading sessions since bouncing off its Aug. 5 roughly four-month low. Year to date, the equity is up 15.2%.

Now looks like an affordable time to weigh in on BAC with options, per its Schaeffer's Volatility Index (SVI) of 20%, which ranks in the low 7th percentile of its annual range. So far today, 127,000 calls and 70,000 puts have crossed the tape, with new positions opening at the popular weekly 8/23 39-strike call.

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