1 Reason to Buy Warren Buffett’s Company, Berkshire Hathaway (BRK.B)
While looking for an investment that can build your reserve in the long run, when you search for thousands of companies in the stock market, be careful with Warren Buffett’s company, Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B).
Like Buffett, it has an incredible history with late business partner. Charlie MungerIncreased the value of the company 5.500.000 % (about 20% per year) more than 60 years. Against this, S&P 500 The 500 index of America’s largest companies won about 39,000% (10.4% per year) – this is still a solid performance.
Why are you now investing in Berkshire? Well, it is reasonable. Recently, the ratio of 23.6 (P/E) ratio is just above the five-year average of 23.6, and the price/sales ratio, which has recently been 2.5, is slightly 2.2 of the five-year average. This, Berkshire is not a screaming purchase Currently, but the price is within the cause of long -term investors.
If you invest in Berkshire, you will get a lot for your money. You will be a part of the scores such as Geico, Benjamin Moore, See’s Candies and all BNSF railway. In Berkshire’s stock portfolio, with important positions in companies Apple– American Express– CocaAnd Bank of America.
The company has been built to continue with most of its value in flexible industries such as energy, insurance and transportation. It should be noted that Buffett will resign from the CEO Post at the end of the year, but will continue to be involved. For a long time, this transition has planned and for a long time Berkshire manager Greg Abel has chosen to get the reins. There are two talented investment lieutenants.
Berkshire’s future may be different from its past, but it still seems promising. At one point, if Abel sees Berkshire as much more cash than he can use it effectively, a dividend may occur.
Think about this before you buy a share in Berkshire Hathaway:
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