Is Berkshire Hathaway Still a Good Investment After Recent Peak Performance?

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Investors pulled away from U.S. risk assets as the Trump administration enacted sweeping tariffs in April, favoring cash and gold instead. Berkshire Hathaway (NYSE: BRK.A, BRK.B), led by Warren Buffett, saw a stock increase of nearly 10% as of June 4, compared to a roughly 2% rise in the S&P 500. The company generated over $89.5 billion in earnings in 2024 and holds a substantial cash reserve of $357 billion.

Berkshire’s diverse portfolio includes major stakes in energy assets and a large insurance business. It currently owns about 5% of the short-term Treasury bill market, providing a significant safety margin amid market volatility. Despite concerns regarding Buffett’s impending retirement in 2025, successor Greg Abel is viewed as capable, ensuring the company’s stability.

While Berkshire’s stock appears somewhat expensive now, analysts suggest that long-term investors can still find value. However, it wasn’t listed as one of the top 10 stocks to buy right now by the Motley Fool’s Stock Advisor team.

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