Core Viewpoint - Berkshire Hathaway's A shares have declined by 14% since the leadership transition in May, marking one of the worst performances relative to the S&P 500 in decades, as investors reassess the company's value post-Buffett [1][3]. Group 1: Performance Analysis - The recent decline is the worst relative performance against the S&P 500 for Berkshire since 1990, highlighting the potential challenges in leadership succession [3][4]. - Historically, Berkshire's stock has created a "Buffett premium," with a cumulative return of 55,000 times since 1965, significantly outperforming the S&P 500 by 140 times [4]. - The stock's valuation reached a rare high, with a price-to-book ratio of nearly 1.8, the highest since October 2008, before the recent downturn [5]. Group 2: Market Sentiment - Despite solid operational performance, with an 8% increase in operating profit year-over-year in Q2, market sentiment has led to significant sell-offs [5]. - Investors previously viewed Berkshire as a safe haven during market turbulence, but as recession fears eased, funds have shifted towards high-growth tech stocks [5]. Group 3: Future Outlook - The recent stock price correction may create a buying opportunity, as Berkshire's CEO Buffett has indicated he will only repurchase shares if the price is below the company's intrinsic value [6]. - There is speculation that Buffett may soon resume stock buybacks following the recent valuation adjustments [6].
5月来逆势大跌14%！交班在即，伯克希尔的“巴菲特溢价”正在消失