Buffett’s Resolutions for 2020

This past year was “unremarkable” for Warren Buffett’s Berkshire Hathaway as the conglomerate’s cash hoards continued to grow and any “elephant” acquisitions remained elusive. This according to a recent article in Bloomberg. The article notes that although the past year was “boring” for Berkshire, it marked the end of a “transformative” decade that included the following events: Berkshire’s purchase of BNSF, “America’s most expansive railroad systems” as well as recognizable brands such as Duracell and… Read More

Buffett Lieutenant Named to Head Berkshire’s Geico Unit

Todd Combs is to become chief executive of Berkshire Hathaway’s car insurer Geico on January 1st, according to a recent article in The Wall Street Journal. “The move marks a major responsibility shift for 48-year old Mr. Combs,” the article says, adding that CEO Warren Buffett runs most of Berkshire’s investments with help from Combs (who currently oversees about $14 billion of the firm’s investment portfolio) and another portfolio manager. Combs will take over the… Read More

Buffett’s Berkshire Hathaway See Record Profits and Cash

Berkshire Hathaway’s operating profit peaked in the third quarter, pushing the conglomerate’s 2019 net income to “a staggering $52 billion, making Berkshire the most profitable public company in the world.” This according to an article in Bloomberg. The article notes that Buffett also “has more cash than ever to play with: $128 billion. That’s the record which has Berkshire’s stock languishing as investors grapple with a question amid all the superlatives: what comes next?” CFRA… Read More

Berkshire Stakeholder Sells Stock

Longtime Berkshire stockholder David Rolfe, chief investment officer at Wedgewood Partners, wrote in his third-quarter letter to clients that he’s fed up with Berkshire Hathaway’s lackluster investments and missed opportunities during the decade-long bull market. This according to a recent CNBC article. “Thumb-sucking has not cut the Heinz mustard during the Great Bull Market,” Rolfe wrote, adding, “The Great Bull could have been one helluva of an astounding career denouement for Messrs. Buffett and [Vice… Read More

Buffett Protégé Starting Her Own Firm

One of Warren Buffett’s inner circle is leaving Berkshire Hathaway to start her own firm, according to a recent article in The Wall Street Journal. Tracy Britt Cool, who the article describes as one of Buffett’s “key lieutenants in recent years,” joined Berkshire in 2009 at the age of 25 as his financial assistant, a role he reportedly created for her. In 2014, the article notes, she became chief executive of Berkshire-owned company Pampered Chef.… Read More

Berkshire Boosts Amazon Stake 11%

Second quarter regulatory filings by Berkshire Hathaway show that the company grew its stake in online retailing behemoth Amazon by 11% to a level of more than $1 billion, according to a recent article in Bloomberg. The investment, originally made in the first quarter by one of Buffett’s investing deputies Todd Combs or Ted Weschler, “showed how Berkshire’s view on technology companies has been shifting.” Berkshire’s Amazon holdings are still dwarfed by its investment in… Read More

Buffett’s Formula Still Works

The performance of Berkshire Hathaway shares over the past 32 years has been “nothing short of phenomenal” notwithstanding industry noise that Warren Buffett’s legacy is being challenged. This according to a recent article in MarketWatch. “Buffett has done what few investors of any size have been able to accomplish,” the article argues, adding, “He has beaten the S&P 500, including dividends, for many decades and by many, many percentage points.” A track record that statistical… Read More

Buffett’s Berkshire Bets Over $860 Million on Amazon

Berkshire Hathaway revealed that its new wager on Amazon totaled $860.6 million at the end of March, according to an article in Bloomberg that outlines key takeaways from the conglomerate’s recent 13F filing. The size of the investment, the article says, “gives more clarity to the wager that Buffett disclosed days before his annual shareholder meeting earlier in May” and “underscores the growing influence of Buffett’s investing deputies, Todd Combs and Ted Weschler,” who were… Read More

Quiet Collaboration at Berkshire Hathaway

The environment at Berkshire Hathaway has changed from one where myriad companies run independently of each other to one where top executives of the different units gather regularly to share strategies and best practices. This according to an article in The Wall Street Journal. The article reports that last year the company’s subsidiary CEOs started reporting to Buffett’s lieutenants, Ajit Jain and Greg Abel, rather than to Buffett himself, adding, “The rise in internal collaboration,… Read More

Buffett’s Course Correction on Airlines

After decades of swearing off the sector, Berkshire Hathaway’s airline holdings make it among the biggest shareholders in the four largest U.S. carriers, and CEO Warren Buffett said he wouldn’t rule out owning one. This according to an article in Bloomberg. The comment is triggering chatter about which airline Buffett might acquire, especially since the legendary CEO is looking for a place to park some of Berkshire’s $112 billion (as of year-end 2018) in cash.… Read More