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BYD bids Warren Buffett's Berkshire an unfazed farewell: Selling is 'normal'
CNBC· 2025-09-27 14:03
Core Viewpoint - Berkshire Hathaway has sold its remaining stake in BYD, a Chinese electric vehicle manufacturer, after holding shares since 2008, which has led to a decline in BYD's stock price by over 6% in Hong Kong this week [1][4]. Group 1: BYD's Response and Market Reaction - BYD confirmed Berkshire's exit and expressed gratitude towards Warren Buffett and Charlie Munger for their long-term support, noting that Berkshire's gradual reduction of its stake began in August 2022, falling below 5% by June [2][3]. - BYD's Executive Vice President stated that Buffett and Munger appreciated BYD but emphasized that their selling was a normal investment practice [3]. - Despite BYD's positive remarks, the market reacted negatively, with a significant drop in BYD's share price following the news of Berkshire's divestment [4]. Group 2: Berkshire's Investment Strategy - While divesting from BYD, Berkshire Hathaway is increasing its investments in Japanese trading companies, with Mitsui confirming that Berkshire now holds over 10% of its voting rights [5]. - As of a March 17 disclosure, Berkshire held a 9.8% stake in Mitsui, valued at approximately $7.3 billion, and has since increased its stake to 10.2% in Mitsubishi [6]. - There is speculation that Berkshire's stakes in other Japanese companies, such as Itochu, Marubeni, and Sumitomo, may also have surpassed 10% [7].
Should You Buy Berkshire Hathaway (BRK.B) While It's Hovering Around $500?
The Motley Fool· 2025-09-27 08:46
Core Viewpoint - The article discusses the investment potential of Berkshire Hathaway, particularly its Class B shares, amidst concerns about CEO Warren Buffett's impending retirement and current market conditions. Group 1: Arguments Against Buying Berkshire Hathaway - The impending departure of Warren Buffett as CEO raises concerns about the company's future appeal [5] - Current valuation is a concern, with shares trading at a forward price-to-earnings ratio of 22.8, only 8% below its all-time high, and no stock buybacks authorized since last year [6] - Economic uncertainty, including rising inflation and unemployment, could negatively impact Berkshire's businesses [7] Group 2: Arguments in Favor of Buying Berkshire Hathaway - Buffett will remain as chairman and believes the company will thrive under Greg Abel's leadership [8] - Historical performance suggests that Berkshire can deliver growth despite current valuation concerns, which are lower than the S&P 500 [9] - Berkshire Hathaway is viewed as a safe haven during economic downturns, potentially holding up better than most stocks [10] - The company offers significant diversification, owning over 60 subsidiaries and equity holdings in around 40 publicly traded companies across various sectors [11] Group 3: Final Verdict - The recommendation is to buy Berkshire Hathaway Class B shares for long-term investors, as near-term concerns may not outweigh the long-term potential [12]
X @The Economist
The Economist· 2025-09-27 08:00
The concentration of value in America’s stockmarket is staggering. So is the concentration of individual power. Four of the ten most valuable firms—Alphabet, Berkshire Hathaway, Meta and Oracle—are controlled by the men who built them https://t.co/fsItZTdCh1 ...
Warren Buffett Sends Investors a $177 Billion Warning -- History Says the Stock Market Will Do This Next
The Motley Fool· 2025-09-26 08:09
Berkshire Hathaway has been selling stocks and accumulating cash, a clear sign that Warren Buffett is worried about elevated valuations.The S&P 500 (^GSPC -0.50%) crashed when President Trump announced sweeping tariffs in April. But the index has since rebounded 33% from its low and is currently on the verge of delivering a positive return for the fifth consecutive month.The economy has been more resilient than investors initially feared, and S&P 500 earnings were better than expected in the first and secon ...
Warren Buffett Is Retiring in 3 Months, and His $177 Billion Warning to Wall Street Rings Louder Than Ever
The Motley Fool· 2025-09-26 07:06
The Oracle of Omaha's actions speak louder than his words.For 60 years, Berkshire Hathaway (BRK.A 0.10%) (BRK.B -0.27%) CEO Warren Buffett has been dazzling Wall Street and investors with his ability to spot amazing deals hiding in plain sight. Since taking the reins, he's overseen a nearly 6,000,000% cumulative gain in his company's Class A shares (BRK.A).But this glorious investment career is in its twilight. During Berkshire's annual shareholder meeting in early May, Buffett announced his intent to retir ...
Warren Buffett Recommended This Vanguard Index Fund in 2014. Here's How Much You Would've Made Had You Listened
Yahoo Finance· 2025-09-25 08:51
Key Points Warren Buffett has steered Berkshire Hathaway to market-beating returns since 1965. Buffett knows most people aren't in a position to replicate his stock-picking strategies, so he often recommends that retail investors buy an S&P 500 index fund instead of picking individual stocks. Buffett recommended the Vanguard S&P 500 ETF back in 2014. 10 stocks we like better than Vanguard S&P 500 ETF › Warren Buffett is one of the world's most successful investors. He took control of a struggli ...
Why Every Investor Should Own This Trillion-Dollar Company Right Now
The Motley Fool· 2025-09-25 08:16
It's like having an all-star stock-picking team in your corner.People who invest in stocks come from all walks of life and have diverse goals and values and varying levels of risk tolerance and start-up capital. That's why it's hard to come up with a single stock everyone should own. But if I absolutely had to pick one, it would be Berkshire Hathaway (BRK.A 0.44%) (BRK.B 0.57%). The Warren Buffett–led conglomerate has many qualities that will appeal to long-term investors. Here is more on this longtime mark ...
Berkshire's Portfolio to Focus on Stability and Diversification?
ZACKS· 2025-09-24 18:26
Key Takeaways Berkshire ended its 17-year investment in BYD after steadily trimming it since 2022.Berkshire has also reduced holdings in Apple and Bank of America to cut concentration risk.Berkshire increased its stakes in Mitsubishi and Mitsui, citing governance reforms and valuations.Berkshire Hathaway Inc. (BRK.B) has been rebalancing its investment portfolio to have income-generating and geographically diverse holdings. This conglomerate has sold its stake in Chinese electric vehicle maker BYD. This mar ...
Meet the Warren Buffett Stock That's Crushing Nvidia in 2025
The Motley Fool· 2025-09-24 08:00
This company holds a valuable monopoly that's easy to understand.Warren Buffett is well known for eschewing advanced technology stocks. That's often led him and Berkshire Hathaway (BRK.A -0.13%) (BRK.B 0.14%) investors to miss out on some of the most lucrative investment opportunities in the market.One of the biggest winners of the last few years has been Nvidia (NVDA -2.79%). Its GPUs are essential infrastructure for artificial intelligence (AI) training and inference. As a result, it's seen demand soar ov ...
The Buffett Indicator and Shiller P/E Ratio Are in Rarified Territory -- Are Things About to Get Ugly for Stocks?
The Motley Fool· 2025-09-24 07:06
Two closely watched historical valuation metrics are making history in all the wrong ways.Investors have been taken on quite the ride in 2025, but have been handsomely rewarded for their patience.Shortly after President Donald Trump announced his tariff and trade policy on April 2, the broad-based S&P 500 (^GSPC -0.55%), widely followed Dow Jones Industrial Average (^DJI -0.19%), and growth-dominated Nasdaq Composite (^IXIC -0.95%) plummeted. The S&P 500 endured its fifth-steepest two-day percentage decline ...