Berkshire Hathaway – Buffettpedia

Value-accretive repurchases of stocks benefit all owners: Warren Buffett

August 10, 2024

“A very minor gain in per-share intrinsic value took place in 2022 through Berkshire sharerepurchases as well as similar moves at Apple and American Express, both significant investeesof ours. At Berkshire, we directly increased your interest in our unique collection of businesses byrepurchasing 1.2% of the company’s outstanding shares. At Apple and Amex, repurchasesincreased Berkshire’s…

Berkshire Hathaway’s secret sauce

In his FY2022 letter to Berkshire Hathaway’s shareholders dated February 25, 2023, legendary value investor Warren Buffett shares the secret sauce of his company. “In August 1994 – yes, 1994 – Berkshire completed its seven-year purchase of the 400million shares of Coca-Cola we now own. The total cost was $1.3 billion – then a very…

Berkshire Hathaway abandons “book value per share” practice

February 27, 2019

Berkshire Hathaway has abandoned its long-time practice of featuring the percentage change in its per-share book value. In his annual letter dated February 23, 2019, to Berkshire Hathaway shareholders, chairman Warren Buffett said: “Long-time readers of our annual reports will have spotted the different way in which I opened this letter. For nearly three decades,…

Buffett, Munger have harsh words for cryptocurrency

May 6, 2018

Berkshire Hathaway chairman Warren Buffett minces no words when it comes to cryptocurrency, calling bitcoin “probably rat poisoned squared” and his right-hand man, Charlie Munger, has even harsher words, saying “it (cryptocurrency) is like someone else is trading turds and you decide I can’t be left out”. A Yahoo Finance May 6, 2018, report (Why…

Berkshire Hathaway takes a bigger bite of Apple, dumps IBM

May 5, 2018

Warren Buffett’s Berkshire Hathaway bought an additional 75 million shares of Apple in the first quarter of 2018, while dumping its remaining stake in IBM, said a Bloomberg May 4, 2018 report (Buffett Buys a Further 75 Million Apple Shares, Sells Out of IBM). The report quoted the Berkshire Hathaway chairman as having said in…

Share repurchases: What is smart at one price is stupid at another

April 26, 2018

Discussions about share repurchases often become heated in the investment world. But, in the words of Berkshire Hathaway chairman Warren Buffett, assessing the desirability of repurchases isn’t that complicated. “From the standpoint of exiting shareholders, repurchases are always a plus. Though the day-to-day impact of these purchases is usually minuscule, it’s always better for a…

Warren Buffett on intrinsic value

April 25, 2018

“Intrinsic value is an all-important concept that offers the only logical approach to evaluating the relative attractiveness of investments and businesses,” Warren Buffett said in the 2016 Annual Report of Berkshire Hathaway. “Intrinsic value can be defined simply: It is the discounted value of the cash that can be taken out of a business during…

Does Warren Buffett or Berkshire Hathaway hold certain stocks forever?

October 5, 2017

Does Warren Buffett or Berkshire Hathaway hold certain stocks forever? To answer this question, one needs to go back to Berkshire Hathaway’s 2016 Annual Report 2016, in which chairman Warren Buffett said: “Sometimes the comments of shareholders or media imply that we will own certain stocks “forever.” It is true that we own some stocks…

Berkshire Hathaway ‘A’ and ‘B’ shares

July 16, 2017

A new release by Berkshire Hathaway dated 10 July 2017 said that chairman Warren Buffett that day converted 12,500 of his Class A shares into 18,750,000 Class B shares. “Of these Class B shares, 18,628,189 have been donated to five foundations: Bill & Melinda Gates Foundation, Susan Thompson Buffett Foundation, Sherwood Foundation, Howard G. Buffett Foundation and…

Why Warren Buffett sold about one-third of stake in IBM

May 10, 2017

Warren Buffett, who owned about 81 million shares in IBM at the end of 2016, sold off about a third of that stake in the first and second quarters of 2017. He told CNBC this in a report dated May 4, 2017 (Warren Buffett has sold IBM shares, and ‘revalued’ tech icon downward, cites ‘big strong…