201.38 +0.08 (0.04%)
After hours: 7:47PM EDT
|Bid||200.50 x 1400|
|Ask||200.55 x 900|
|Day's Range||199.32 - 202.18|
|52 Week Range||184.75 - 224.07|
|Beta (3Y Monthly)||0.77|
|PE Ratio (TTM)||18.48|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
Warren Buffett (Trades, Portfolio) and Charlie Munger (Trades, Portfolio) are considered to be disciples of Benjamin Graham, but this is not entirely true. Yes, they are both regarded as two of the greatest value investors of all time, and Buffett in particular adhered to Graham's investing philosophy quite closely at the beginning of his career. When talking with students at the University of Southern California in 1995, Munger explained how he and Buffett came to develop their own strategy.
When the “Woodstock of Capitalism” took place a few weeks ago, aka Berkshire Hathaway’s (BRK)(BRK) annual meeting, the Warren Buffett fetishists came out in full force and saturated investing websites, CNBC and YouTube with their gee-whiz commentary. After all, the time you spend relearning all the old Buffett lessons (there’s a finite number, after all) is time you are not learning from other great investors. Consider tech investor Kevin Landis of Firsthand Capital Management, for example.
Warren Buffett is arguably the best investor of all time. Self-directed investors can learn from his success by studying his stock market holdings, which are published in regulatory filings with the U.S. Securities & Exchange Commission, notes Ben Reynolds, editor of Sure Dividend.
Investors in wholesale retailer Costco (COST) have been richly rewarded over the last year. Shares of Costco are currently trading at all-time highs. Warning! GuruFocus has detected 7 Warning Sign with COST.
Even though the Oracle of Omaha isn't feeling the buzz on cannabis, a handful of companies he owns are exposed to its growth.
Berkshire Hathaway (NYSE:BRK.A)(NYSE:BRK.B)'s much-awaited 13F form was made public towards the end of last week, finally revealing how much stock Warren Buffett (Trades, Portfolio)'s conglomerate had acquired in online retailer Amazon (AMZN) during the first quarter of 2019. Warning! GuruFocus has detected 2 Warning Sign with AMZN. According to the filing, Berkshire owned around 483,000 in the online giant at the end of March, a holding worth around $860 million according to the filing.
Berkshire Hathaway Inc NYSE:BRK.BView full report here! Summary * Perception of the company's creditworthiness is positive * ETFs holding this stock have seen outflows over the last one-month * Bearish sentiment is low Bearish sentimentShort interest | PositiveShort interest is extremely low for BRK.B with fewer than 1% of shares on loan. This could indicate that investors who seek to profit from falling equity prices are not currently targeting BRK.B. Money flowETF/Index ownership | NegativeETF activity is negative. Over the last one-month, outflows of investor capital in ETFs holding BRK.B totaled $9.76 billion. Additionally, the rate of outflows appears to be accelerating. Economic sentimentPMI by IHS Markit | NeutralAccording to the latest IHS Markit Purchasing Managers' Index (PMI) data, output in the Financials sector is rising. The rate of growth is strong relative to the trend shown over the past year, but is easing. Credit worthinessCredit default swap | PositiveThe current level displays a positive indicator. BRK.B credit default swap spreads are within the middle of their range for the last three years.Please send all inquiries related to the report to firstname.lastname@example.org.Charts and report PDFs will only be available for 30 days after publishing.This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.
Trying to determine your ideal asset allocation? Here's what the Oracle of Omaha has to say.
” (May 17) provides a comprehensive analysis of Occidental’s agreed acquisition of Anadarko, which was enabled by a $10bn investment from Berkshire Hathaway. In addition to what is disclosed in the analysis, Berkshire Hathaway also gets a warrant to subscribe, subject to conditions, for up to 80m shares, which is about 10 per cent of the company, at an exercise price of $62.501. Although this may comply with US laws and regulations, it is questionable whether it complies with the spirit of good corporate governance principles, not least those of the widely supported Investor Stewardship Group, which sets out investor expectations about corporate governance practices in US publicly listed companies.
While Masayoshi Son is still very much at the helm of SoftBank Group Corp. (TSE:9984), the company he built into a leader of the Japanese telecom industry, his attention increasingly seems to be focused on the SoftBank Vision Fund. The Vision Fund is the company's venture capital investing arm. While managed by SoftBank, it is funded principally by external investors and has raised a staggering $100 billion .
Stocks in Warren Buffett's Berkshire Hathaway portfolio were mixed Monday. Among Buffett's holdings identified in Berkshire Hathaway's latest SEC filing, 18 rose while 29 fell. StoneCo shares rose 88 cents, or 3.
Warren Buffett (Trades, Portfolio)'s advice is always timeless and invaluable. Every single value investor listens wholeheartedly to and learns from what he says about market conditions, Berkshire Hathaway (NYSE:BRK.A)(NYSE:BRK.B)'s positions in the stock market and value investing philosophy. In the 2019 annual meeting, he again gave some great lessons about value investing and how to value a business.
Warren Buffett is a fan of dividends. Just look at all the dividend stocks that fill Berkshire Hathaway's (NYSE:BRK.B),NYSE:BRK.A) portfolio. Many of his top holdings send plenty of cash flowing back into BRK.B's coffers, inflating them by billions of dollars each quarter. And for decades, BRK.B has been using those dollars to reinvest and drive the future returns of Berkshire Hathaway stock.Source: Shutterstock However, despite Buffett's love of stocks that pay dividends, Berkshire Hathaway stock doesn't pay one of its own, with Buffett preferring to use the money for other purposes. Over the years, that's been a fine approach. But these days, Buffett and BRK.B may want to rethink that stance. * 7 High-Yield REITs to Buy (Even When the Market Tanks) A huge cash pile, underperformance in recent years by Berkshire Hathaway stock and a lack of appealing elephant-sized takeover targets make the idea of paying a dividend- even a one-time special one- worthwhile for Berkshire Hathaway.InvestorPlace - Stock Market News, Stock Advice & Trading Tips A Growing Problem for Berkshire HathawayCalling BRK.B a cash-generating machine would be an understatement. By design, the organization is set up to produce copious amounts of cash flows from its underlying holdings. Its insurance companies pull in billions from their investments, while Buffett receives billions each quarter in dividends from BRK.B's massive stakes in companies like Coca-Cola (NYSE:KO) and U.S. Bancorp (NYSE:USB). And we can't forget about the dividends/distributions that Berkshire Hathaway's subsidiaries send back to their parent.Historically, Buffett has used this cash primarily to invest in its current businesses, buy new businesses and repurchase Berkshire Hatahaway stock when its shares are cheap enough.The problem is that BRK.B may be producing too much cash these days. At the end of 2018, BRK.B had about $112 billion in cash and equivalents on its balance sheet. That balance has only grown as more of its positions have paid their quarterly dividends into the firm's coffers.The issue is that Buffett and Berkshire are having trouble finding ways to spend that cash.With stocks surging over the last year or so, valuations aren't as cheap as Buffett would like. After all, he is a value investor. As a result, it's difficult for Berkshire to buy more shares of companies in which it already has stakes .Meanwhile, expensive valuations make buying companies outright an expensive proposition. Since Berkshire Hathaway is so big, it takes a large deal to really move the needle for Berkshire Hatahawau stock. Unfortunately, Buffett and the team at Berkshire Hathaway recently haven't found any major company that they like. It's been more than three years since BRK.B carried out a substantial buyout. So, its cash keeps piling up.That could explain Buffett's recent bout of underperformance.Over the long haul, Berkshire Hathaway stock has been a great investment. Since Buffett took over, Berkshire Hathaway has managed to produce a compound annual gain of 21% , versus a compound annual gain of just 9.7% for the S&P 500 during that time.However, the last decade hasn't been so kind for Buffett. BRK.B stock has risen by 259% over the last ten years. That's not bad at all. However, the S&P has returned a total of 314% during that time. This year alone ,the S&P 500 has risen more than twice as rapidly as Berkshire Hatahaway stock. Berkshire Hathaway Should Give It All AwayThere is a relatively easy solution to the problem for Berkshire: enact a dividend of its own. Buffett has notoriously been stubborn on this issue and has said that in 10 or 20 years, the company may decide to institute a dividend. BRK has only paid a dividend once, back in 1967. However, it might be a good idea for for Berkshire Hathaway stock to start paying one.For one thing, Buffett's argument that it's better to use the money for investments is only valid if he actually puts the cash to work. Handing some of the cash back to investors as a dividend would certainly remove some of the drag on the performance. of Berkshire Hathaway stock.And Buffett wouldn't have to get rid of all of the cash. If Berkshire Hathaway last year- after kicking out the issues with Kraft Heinz (NYSE:KHC) - put 42% of its profits into dividends, it would have spent about $20 billion on the payouts. In that scenario, Buffett would still have had plenty of cash to play with. In fact, about five years ago, Buffett had only about $42 billion in cash on Berkshire's balance sheet, and he was perfectly content and performed better.By paying a dividend, BRK.B would remove one of Buffett's main complaints about Berkshire Hathaway as well. That is, that Berkshire Hathaway stock constantly trades at a huge discount to book value. If Buffett was to pay an annual dividend or even a one-time large special payout and remove some of the excess cash, the owners of Berkshire Hathaway stock would receive an improved return on their investment. Most likely, they would enjoy higher share prices and higher net asset value. Here's Hoping Berkshire Hathaway Starts Paying UpBuffett is an amazing investor and has steered Berkshire Hathaway towards enviable returns that may have been too good. BRK just throws off too much cash these days. It's a great problem to have, but it is starting to significantly hinder the performance of BRK.B stock. Initiating a one-time, special dividend or annual payout would go a long way towards removing that excess cash from Berkshire's balance sheet, while improving the performance of BRK.B stock. At the time of writing, author Aaron Levitt did not hold a position in any of the stocks mentioned. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 High-Yield REITs to Buy (Even When the Market Tanks) * 5 Great Blue-Chip Stocks to Buy Today * 7 Tech Stocks to Buy That Are Also Perfect for Retirement Compare Brokers The post Berkshire Hathaway Stock Should Pay a Special Dividend appeared first on InvestorPlace.
To start with, the company is a lot more than Warren Buffett's carefully selected stock portfolio.
Berkshire Hathaway's vast $200 billion stock portfolio is far more concentrated than you may realize. But that doesn't mean investors should follow his lead.
Stocks in Warren Buffett's Berkshire Hathaway portfolio fell Friday. Among Buffett's holdings identified in Berkshire Hathaway's latest Securities and Exchange Commission filing, 11 rose while 35 fell.