Latest news with #BerkshireHathawayInc
Yahoo
15-07-2025
- Business
- Yahoo
Investing in Berkshire Hathaway (NYSE:BRK.A) five years ago would have delivered you a 149% gain
Berkshire Hathaway Inc. (NYSE:BRK.A) shareholders might be concerned after seeing the share price drop 10% in the last quarter. But that doesn't change the fact that the returns over the last five years have been very strong. We think most investors would be happy with the 149% return, over that period. We think it's more important to dwell on the long term returns than the short term returns. Only time will tell if there is still too much optimism currently reflected in the share price. Let's take a look at the underlying fundamentals over the longer term, and see if they've been consistent with shareholders returns. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. During five years of share price growth, Berkshire Hathaway achieved compound earnings per share (EPS) growth of 56% per year. This EPS growth is higher than the 20% average annual increase in the share price. Therefore, it seems the market has become relatively pessimistic about the company. You can see below how EPS has changed over time (discover the exact values by clicking on the image). It's probably worth noting that the CEO is paid less than the median at similar sized companies. It's always worth keeping an eye on CEO pay, but a more important question is whether the company will grow earnings throughout the years. It might be well worthwhile taking a look at our free report on Berkshire Hathaway's earnings, revenue and cash flow. Berkshire Hathaway shareholders gained a total return of 8.9% during the year. But that was short of the market average. It's probably a good sign that the company has an even better long term track record, having provided shareholders with an annual TSR of 20% over five years. Maybe the share price is just taking a breather while the business executes on its growth strategy. It's always interesting to track share price performance over the longer term. But to understand Berkshire Hathaway better, we need to consider many other factors. Consider risks, for instance. Every company has them, and we've spotted 1 warning sign for Berkshire Hathaway you should know about. We will like Berkshire Hathaway better if we see some big insider buys. While we wait, check out this free list of undervalued stocks (mostly small caps) with considerable, recent, insider buying. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on American exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Yahoo
11-07-2025
- Business
- Yahoo
Here's Why Berkshire Hathaway Declined 9% in Q2
Mar Vista Investment Partners, LLC, an investment management company, released its 'Mar Vista U.S. Quality Strategy' second-quarter 2025 investor letter. A copy of the letter can be downloaded here. The first half of 2025 concluded on a remarkable note, with U.S. stocks bouncing back from earlier volatility to reach new record highs. The S&P 500® Index and the Nasdaq Composite led the recovery, both ending the second quarter at all-time peaks. In the second quarter, the strategy returned +12.40% net of fees, compared to +11.10% and +10.94% returns for the Russell 1000 Index and the S&P 500 Index, respectively. In addition, please check the fund's top five holdings to know its best picks in 2025. In its second quarter 2025 investor letter, Mar Vista U.S. Quality Strategy highlighted stocks such as Berkshire Hathaway Inc. (NYSE:BRK-B). Berkshire Hathaway Inc. (NYSE:BRK-B) engages in the insurance, freight rail transportation, and utility businesses. The one-month return of Berkshire Hathaway Inc. (NYSE:BRK-B) was -1.90%, and its shares gained 12.68% of their value over the last 52 weeks. On July 10, 2025, Berkshire Hathaway Inc. (NYSE:BRK-B) stock closed at $478.27 per share, with a market capitalization of $1.03 trillion. Mar Vista U.S. Quality Strategy stated the following regarding Berkshire Hathaway Inc. (NYSE:BRK-B) in its second quarter 2025 investor letter: "Despite hitting all-time highs early in the second quarter, Berkshire Hathaway Inc.'s (NYSE:BRK-B) stock declined 9% for the three-month period. Warren Buffett's surprise announcement at the company's shareholder meeting that he would retire at year-end marked the beginning of the stock sell-off. Berkshire was built intentionally to outlast Mr. Buffett so the formal announcement of his retirement doesn't change our perspective on the business. While there may be subtle changes, we expect Greg Abel will maintain Berkshire's core investment and capital allocation principles. The new CEO will have substantial dry powder to deploy with almost $340 billion in cash and an additional $40b in annual free cash flow. We would expect Mr. Abel to instill a material dividend policy to provide an outlet for excess cash. Stock repurchases are likely to remain opportunistic depending on Berkshire's stock valuation relative to his and the Board's estimate of fair value. Berkshire's ability to deploy capital at the most opportune times, when valuations are cheap and capital is scarce, will remain an important feature with or without Buffett." A team of insurance professionals in a boardroom overlooking a city skyline. Berkshire Hathaway Inc. (NYSE:BRK-B) is in 15th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 125 hedge fund portfolios held Berkshire Hathaway Inc. (NYSE:BRK-B) at the end of the first quarter, which was 131 in the previous quarter. While we acknowledge the potential of BRK-B as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. In another article, we covered Berkshire Hathaway Inc. (NYSE:BRK-B) and shared the list of stocks Jim Cramer recently discussed. In addition, please check out our hedge fund investor letters Q2 2025 page for more investor letters from hedge funds and other leading investors. READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
10-07-2025
- Business
- Yahoo
UBS Lowered its Price Target Berkshire Hathaway (BRK-B), Kept a Buy Rating
Berkshire Hathaway Inc. (NYSE:BRK-B) is one of the 10 Best Non-Tech Stocks to Buy and Hold For 3 Years. On June 3, analyst Brian Meredith from UBS lowered its price target on Berkshire Hathaway Inc. (NYSE:BRK-B) from $606 to $591, while keeping a Buy rating on the stock. The analyst noted that the price revision reflects the conservative investment approach of Berkshire Hathaway Inc. (NYSE:BRK-B). The company's investment approach prioritizes liquidity and risk mitigation amidst volatile market conditions. However, while the analyst lowered the price target, he maintained a Buy rating due to the company's strong balance sheet and diversified investment portfolio. Brian Meredith noted that these factors are key strengths of Berkshire Hathaway Inc. (NYSE:BRK-B), which supports its long-term value. Skyscrapers with background of graphs and arrows Moreover, Qualivian Investment Partners also mentioned Berkshire Hathaway Inc. (NYSE:BRK-B) in its Q1 2025 investor letter. The fund noted the company to be among the top three contributors for the quarter. Berkshire Hathaway Inc. (NYSE:BRK-B) is a large holding company that owns and operates various businesses through its subsidiaries. While we acknowledge the potential of BRK-B as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
Yahoo
03-07-2025
- Business
- Yahoo
Buffett's $6B Donation: Generous Gesture or Market Mover for Berkshire Hathaway (BRK.B)?
Berkshire Hathaway Inc. (NYSE:BRK-B) is . On June 30, it emerged that renowned investor and CEO, Warren Buffett plans to donate $6 billion worth of company shares. The donation is to be given to the charities of the billionaire investor's choice. Buffett is to give away $12.36 million of the company's shares to five charities. The Bill & Melinda Gates Foundation trust is the largest beneficiary, poised to receive 9.4 million Berkshire Hathaway shares. The Susan Thompson Buffett Foundation is to receive 943,384 shares. The Buffett Children's Foundation, the Sherwood Foundation, the Howard G. Buffett Foundation, and the NoVo Foundation are to receive 660,366 shares each. Buffett has donated over $60 billion since he started donating his wealth in 2006. Berkshire Hathaway Inc. (NYSE:BRK-B) is a multinational conglomerate holding company with investments in diverse industries, including insurance, rail transportation, energy, manufacturing, and retail. It also has significant investments in publicly traded companies. While we acknowledge the potential of BRK-B as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: and . Disclosure: None.
Mint
29-06-2025
- Business
- Mint
Warren Buffett to donate $6 billion in Berkshire Hathaway shares to THESE five charities as part of Giving Pledge
Warren Buffett will donate about $6 billion of Berkshire Hathaway Inc. shares to five foundations as part of a pledge he made nearly two decades ago. About 9.43 million Class B shares will be given to the Bill & Melinda Gates Foundation Trust, according to a statement on Saturday. Another 2.92 million shares will be donated to his children's foundations — Sherwood Foundation, the Howard G. Buffett Foundation and NoVo Foundation — as well as the Susan Thompson Buffett Foundation, named after the billionaire's late wife. The 94-year-old started the Giving Pledge in 2010 alongside friends Bill Gates and Melinda French Gates with the goal of donating Buffett's fortune either in his lifetime or at his death. Four years earlier, he had started making massive donations to the Gates's foundation, as well as foundations tied to his children. 'The mathematics of the lifetime commitments to the five foundations are interesting,' Buffett said. 'The five foundations have received Berkshire B shares that had a value when received of about $60 billion, substantially more than my entire net worth in 2006.' Buffett earlier this year announced he would step down as chief executive officer of Berkshire Hathaway by the end of 2025, leaving the role to his long-time second-in-command Greg Abel. Buffett said he would not sell a single share of Berkshire Hathaway, but would give them away gradually. Buffett's stake in Berkshire now consists of 198,117 Class A shares and 1,144 Class B shares. 'I have no debts and my remaining A shares are worth about $145 billion, well over 99% of my net worth,' Buffett said. 'My will provides that about 99.5% of my estate is destined for philanthropic usage.' Disclaimer: This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed. Disclaimer: This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.
