Barron's Live Buffett, Berkshire, Bary, and Other Investment Ideas
Aug 4, 2025
Joining the discussion is Andrew Bary, Associate Editor at Barron's, known for his expertise on Berkshire Hathaway and investment strategies. He delves into Berkshire's recent earnings, highlighting both gains and challenges. Bary analyzes the company's substantial cash reserves and potential strategic acquisitions, and discusses the impact of new management on investment approaches. The chat also touches on Palantir's stock surge, overlooked market sectors amidst the AI hype, and the future of dividends at Berkshire under CEO Greg Abel.
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Berkshire's Earnings Stronger Than They Appear
- Berkshire Hathaway's earnings were better than they appeared after adjusting for currency losses related to yen debt.
- Key businesses like Burlington Northern and Berkshire Hathaway Energy showed strong performance, indicating solid underlying growth.
Possible Berkshire Bid for CSX
- Berkshire may bid for CSX to counter a potential Union Pacific and Norfolk Southern merger, aiming for a second transcontinental railroad.
- The deal would be strategic, strengthening Berkshire’s position in the railroad business with about $80 billion needed.
Consider Berkshire Stock Now
- Berkshire stock looks more reasonably priced after recent declines, trading at around 22 times earnings and 1.5 times book value.
- Investors benefit from Berkshire's large cash reserves and optionality for future acquisitions, providing investment comfort.