The FinancialContent Network     SocialPicks Community   |   MarketMinute Monitor   |   MarketMinute Market Updates   |   MarketMinute Stock News
SocialPicks
   Sign Up   |   Log In   |   What is SocialPicks?     
10 pts

Opinion on  Berkshire Hathaway Inc. (BRK.B)     Sector: Financial  >  Industry: Insurance (Prop. & Casualty)
The holding company owns 70 companies outright, so it easily weathered the economic storm.

May 05, 2008 12:55 PM GMT
Astukphoto
Return Risk
-19.02% MID
Sr. Associate

Recent News  

Berkshire Hathaway Inc.

Market capitalization: $196.1 billion
Write-offs since 2005: 0%
Debt to capital ratio: 22%
<!-- /DATA FIELDS -->
It's no surprise that Berkshire Hathaway topped our list. That's because CEO Warren Buffett, "The Oracle of Omaha," guided his holding company through more than just one recession. In fact, the company has returned 21.1% a year since Buffett took over in 1965. The S&P 500 "only" returned 10.3% over the same period.

At first glance, it looks like Berkshire could be headed for some tough times ahead. It owns car insurance company Geico and the insurance industry has taken a bit of a hit recently. Buffett was a bit cautious about short-term growth after Berkshire reported its 2007 results and the company had some limited, indirect subprime exposure through holdings of Wells Fargo, Moody's, and American Express.

But Berkshire has about $50 to 60 billion in cash, and is very well diversified. The holding company owns 70 companies outright, so it easily weathered the economic storm.

"This company has an unbelievable track record -- the best that I know of over the past 40 years," said Keppler Asset management CIO Michael Keppler, who runs a mutual fund for which Berkshire is its top holding. Keppler expects Berkshire to continue beating the market.

But before you run to your nearest broker, potential investors should be warned that one share costs about $130,000. Even the less expensive Berkshire "B" stock is trading around $4,500. But if you can't afford the steep asking price, there are hundreds of much more affordable mutual funds available in which Berkshire Hathaway is a top holding.
http://astuk-virtuallystocks.blogspot.com/


BRK.B:  This call was made on 05/05/08 @ $4448.0
Rating:   Positive   $4448.0 (05/05/08)
Closed:   06/27/2008 @ $4003.0 (-10.00% in 53 days)
Target:   in > one year
Allocation:   1.2% of portfolio


Comments (1)

Add Comment

Arrow_up
Arrow_down
Money
abates   N/A     0 point   commented 578 days ago reply

Going long warren buffet is never a bad idea, but what are you thoughts if he were to step down. BRK.B might see a significant dip, succession plan or not.
Arrow_up
Arrow_down
Astukphoto
Armin Stuk   22%     2 points   commented 578 days ago reply

I really love Buffett's style, thoughts, simplicity and in particular time frame. I believe the right person is going to continue his works!
As once said:he's looking for an understudy - job-hoppers and money-grubbers need not apply.
Picking the right person to hire on the investment side will not be easy, Buffett says. "We need someone genetically programmed," he specifies, "to avoid serious risks, including those never before encountered." Other talents he will be looking for, he says, are "independent thinking, emotional stability, and a keen understanding of both human and institutional behavior."

Best

Your Comment

Who voted on this idea?
piko N/A 05/27/2008
Weiting Liu 50% 05/07/2008



ROCK-STAR INVESTORS
Rank Name Sharpe Ratio Avg Return Followers
1 noshoes 21.10 +34.44% 381
2 Gerald Greene 18.14 +71.24% 211
3 stockmarketfunding.com 17.66 +25.60% 55
4 akiralegrand 13.47 +14.32% 62
5 anup2104 12.13 +74.22% 40


POPULAR STOCKS
Symbol Company Name Sentiment
F Ford Motor Company
XOM Exxon Mobil Corp
JPM JPMorgan Chase & Co
RIMM Research in Motion Ltd
MA MasterCard Inc
LEH Lehman Brothers Holdings Inc

TODAY'S HEADLINES

TODAY'S TOP PICKS

 
Berkshire Hathaway Inc. (BRK.B)
   SocialPicks Sentiment:   

   This Quarter's Sentiment:
All:
87.0%
Top:
66.5%




Latest Picks by Armin Stuk
Symbol SP Sentiment Rating Return Since
CNQ Positive -23.00% 08/21/08
SYUT N/A Positive -71.03% 08/13/08
ELN Positive -46.88% 08/05/08
BNI Positive -3.72% 07/30/08
XTO Positive -22.86% 07/22/08

View All >
   
Armin Stuk previously rated BRK.B
Positive n/a buying Buffett;don't ask me why!
06/27/2008
2





IN THE PRESS
Press_forbes Press_washingtonpost Press_wsj Press_npr Press_techcrunch