Some of Buffett’s other top holdings have stumbled in the past year, and that’s dragged down the returns for Berkshire’s portfolio.
Earnings in focus
The company will reveal its updated holdings in a regulatory filing with the Securities and Exchange Commission on Friday.
Berkshire will also be reporting its fourth quarter results later this month.
Buffett gets the most attention for his investing prowess. But Berkshire is also a massive conglomerate worth nearly $560 billion. It owns Geico and other insurers, the Burlington Northern Santa Fe railroad, several energy and utility firms and a bunch of well-known consumer companies, including Duracell, Fruit of the Loom and Dairy Queen.
Buffett will probably discuss his thoughts on Berkshire’s top investments and operating businesses, the broader stock market (and possibly succession plans) in his annual shareholder letter.
Berkshire chief financial officer Marc Hamburg confirmed in an email to CNN Business that the letter will be released on the morning of Saturday, February 22.
Time to make a deal?
Berkshire has nearly $130 billion in cash on hand, and Buffett has frequently discussed a desire to make another big acquisition. But he’s been frustrated by how expensive takeover targets are in light of the long-running market rally.
Berkshire’s last major deal was the $32 billion buyout of aerospace components maker Precision Castparts in 2015.
Investors are also hoping for more clarity about how exactly Berkshire will be managed after Buffett either retires — which he has given no indication he plans to do — or passes away.
Buffett turns 90 in August. Berkshire vice chairman Charlie Munger celebrated his 96th birthday on New Year’s Day.
So Berkshire could wind up being run by a committee that includes the two other Berkshire vice chairmen Ajit Jain and Greg Abel, Weschler and Combs, who also took over as Geico CEO in January.
Source : CNN