Logo of Warren Buffett’s Berkshire Hathaway Inc. Warren Buffett’s Berkshire Hathaway Inc. reached a deal to buy Occidental Petroleum Corp.’s petrochemical business for about $9.7 billion in cash.   If the deal closes, it would be the biggest purchase for Berkshire since its $11.6 billion buyout of insurance firm Alleghany Corporation in 2022 and expand its chemical portfolio beyond Lubrizol.   The latest move marks billionaire Buffett's return to the search for good deals after years of abstaining from maj ...

Group 1 - Warren Buffett emphasizes that the quality of the business itself is more important than the talent of its management, highlighting the concept of "economic moats" as a key factor in investment success [1][2] - Effective management can enhance a strong company's potential, but cannot compensate for the structural disadvantages of a weak business [2][3] - Buffett's early investment in the textile industry serves as a cautionary tale, illustrating that even capable management cannot salvage fundamentally flawed businesses [3] Group 2 - Successful long-term investments in companies like Coca-Cola and American Express demonstrate how strong management can thrive on a solid business foundation, leading to sustained shareholder returns [4]

Investment Strategy - The podcast focuses on identifying big-cap stocks outside the "MAG 7" (Magnificent Seven) for portfolio diversification [1][2] - The analysis suggests waiting for potential price weakness in fundamentally sound companies before investing [17][50] - The podcast emphasizes the importance of a diversified portfolio, highlighting that investment opportunities extend beyond AI stocks [55][56] Berkshire Hathaway (BRK B) - Berkshire Hathaway's stock has underperformed the S&P 500, with a 9% increase over the last year compared to the S&P 500's 155% gain [9] - Berkshire Hathaway's forward PE ratio is 246%, considered expensive for the company, and the PEG ratio is 35% [10][11] - Berkshire Hathaway has a substantial cash hoard of $350 billion, leading to questions about its deployment [15] - Berkshire Hathaway's price to book ratio is relatively attractive at 16% [48] Fastenal (FAST) - Fastenal's shares are up 37% over the last year, outperforming the S&P 500's 155% gain [21] - Fastenal's PE ratio is 4398%, and the PEG ratio is 444%, both considered high [25][26] - Fastenal's price to sales ratio is 72, indicating a high valuation [26] - Analysts are becoming more bullish on Fastenal, with expectations of 11% earnings growth this year and 107% next year [23] Costco (COST) - Costco's shares are up only 44% over the last year, which is disappointing compared to its historical performance [31] - Costco's PE ratio is 46, and the PEG ratio is 55, indicating a relatively high valuation [42] - Costco's price to sales ratio is 148, which is considered relatively cheap [43] - Costco is expected to have 105% earnings growth this fiscal year and another 10% next fiscal year, with 78% sales growth for both years [40]

Julie Bang / Investopedia The 95-year-old Warren Buffett is stepping down as Berkshire Hathaway's CEO at the end of the year. KEY TAKEAWAYS Berkshire Hathaway has struck a $9.7 billion all-cash deal to buy OxyChem, the petrochemical division of Occidental Petroleum, in the largest acquisition by Warren Buffett’s conglomerate since 2022. Berkshire Hathaway has been focused on selling stakes and growing its cash pile rather than big-ticket purchases in recent years. Berkshire Hathaway (BRK.A, BRK.B) h ...

Warren Buffett's Berkshire Hathaway reaching a $9.7% billion dollar deal to buy accidental Petroleum's prochemical business in cash. Buffett's biggest move since acquiring insurer Alagany. It's a sign he may be ready to put that record cash pile to work.Joining us now with more is Miles Udlin, a Yahoo Finance head of news. Miles, thanks for being here. Thanks for having me.So, Warren Buffett back on the hunt here. I mean, what does this tell you about where he maybe sees value right now. Uh well, I think th ...

Core Insights - Occidental Petroleum Corp. has completed its major deal-making phase after selling its chemical unit to Berkshire Hathaway for $9.7 billion, achieving its asset-sales target [1][2] - The company aims to enhance liquidity and reduce debt, with plans to use approximately $6.5 billion from the sale proceeds to lower its principal debt to below $15 billion [4][5] Company Strategy - The CEO of Occidental, Vicki Hollub, indicated that the focus will now shift to organic growth following the significant asset sale [4] - The company had received multiple unsolicited offers for its OxyChem unit and opted for the all-cash offer from Berkshire due to its certainty to close [5] Industry Context - The U.S. shale sector is undergoing a phase of portfolio pruning, with over $200 billion in consolidation as companies seek to improve cash flow amid declining crude prices [3] - Other companies in the sector, such as ConocoPhillips, are also increasing their asset-sale targets to adapt to the current market conditions [3]

Occidental is done with monster dealmaking after reaching its asset-sales target with the $9.7 billion chemical-unit sale to Berkshire Hathaway https://t.co/eluSFuNih8 ...

Core Insights - Berkshire Hathaway Inc. has signed an agreement to acquire Occidental Petroleum Corporation's petrochemical subsidiary, OxyChem, for approximately $9.7 billion in cash [1][2] - The transaction is expected to close in the fourth quarter of 2025 and will be Berkshire's largest deal since its $13.7 billion acquisition of Alleghany Corp. in 2022 [2] - OxyChem specializes in producing essential chemicals such as chlorine, sodium hydroxide, and PVC resins, generating roughly $5 billion in revenue over the past 12 months [3] Company Developments - Occidental Petroleum, 27% owned by Berkshire, is actively deleveraging after significant acquisitions, including a $55 billion purchase of Anadarko in 2019 [4] - The company currently has $24 billion in debt, down from nearly $49 billion post-Anadarko, and plans to use $6.5 billion from the OxyChem sale to further reduce this debt [4] - Occidental has executed nearly $4 billion in divestments since early 2024, indicating a strategic shift towards simplifying its portfolio and enhancing capital returns to shareholders [5] Industry Context - The acquisition of OxyChem marks a significant move in the petrochemical sector, as it is expected to be one of the largest standalone petrochemical transactions globally, valued near $10 billion [2] - The deal comes amid industry challenges, including oversupply and shrinking margins, leading Occidental to close a chapter in its decades-long chemicals business [6] - The acquisition strengthens Berkshire Hathaway's ties with Occidental, as the firm has been gradually increasing its equity stake in the company [5]

西方石油(OXY.US)短线下挫近5%报45.4美元。消息上，伯克希尔哈撒韦将以97亿美元收购西方石油旗下的石化业务OxyChem，这也将成为伯克希尔自2022 年以来最大的一宗收购。西方石油计划利用从伯克希尔交易中获得的65亿美元收益来偿还债务，从而实现其将主要债务降至150亿美元以下的目标。 | | | ■ 西方石油 分时 多日 日K 周K 月K 季K 年K 1分 3分 5分 10分 15分 30分 ▼ 1天：1分K ▼ 显示 Y ② | | V | | --- | --- | --- | --- | --- | | 47.950 | | | | | | 47.800 | | | | | | 47.650 | | | | | | 47.501 | | | | | | 47.351 | | | | | | 47.201 | | | | | | 47.052 | | | | | | 46.902 | | | | | | 46.752 | | | | | | 46.603 | | | | | | 46.453 | | | | | | 46.303 | | | | | | 46.153 | | | | | | 4 ...

巴菲特旗下伯克希尔于周四宣布了其多年来规模最大的一笔交易：伯克希尔(BRK.A.US,BRK.B.US)将以 97亿美元收购西方石油(OXY.US)的化工部门OxyChem。 这笔交易是最新迹象，表明在多年未进行大规模收购并逐步减持苹果公司等大型持股后，巴菲特似乎已 重返并购市场。伯克希尔在周四的声明中称，交易预计在第四季度完成。 数据显示，此次收购OxyChem将是伯克希尔自2022年以137亿美元收购保险公司Alleghany Corp.以来规 模最大的一笔交易。截至6月底，伯克希尔的现金储备达3440亿美元，接近历史最高水平。 这笔交易标志着西方石油公司一个漫长篇章的结束。该公司于数十年前进入化工行业，但该部门年销售 额在过去几年持续下降。今年8月，由于关键产品市场供应过剩，西方石油将OxyChem的全年税前利润 预期下调约15%，至8亿至9亿美元区间。 此次收购OxyChem的交易，可能是巴菲特在明年1月将首席执行官(CEO)职位移交副董事长格雷格阿贝 尔之前的最后一笔重大交易。沃伦巴菲特计划继续担任伯克希尔公司董事长，并将继续参与决策该集团 超过3440亿美元现金的使用方式。 伯克希尔持股约27%的 ...