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by Scoundreller 1302 days ago
Obviously the trick is to own the companies that sell with the beautiful brochures, as is the case here.

40% of BH's publicly-traded holdings are AAPL stock. 11% is Bank of America. 9% is Chevron. 7% is Coca Cola.

https://www.cnbc.com/berkshire-hathaway-portfolio/

You could replicate 84% of the publicly-traded side of BH with 8 US-based holdings.

But BH trades at 1.5x price to book... not sure if it's really worth it. But there's some VC-style genius in his non-trading holdings (e.g. GEICO and railways) directly held on its book or its <1% public holdings.

https://finance.yahoo.com/quote/BRK-A/key-statistics/

(Though the asset value of the railroads, railcars, energy, pipelines, etc. (not even including liabilities) is about equal to its AAPL holdings, which is all asset/equity).

Overall, if you want a set-and-forget investment, I'd still say go for BH stock.

1 comments

I think that BH has underperformed the S&P500 for some time now. They are also quite old now - what happens to the share price after they pass?
Unless I goofed in looking up this information, BH has outperformed the S&P 500 since 10 years ago and since 5 years ago, and that's with the S&P's dividendends reinvested. A few years ago I think it was different, but then they made a lot of money on Apple.