Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.
Support MFO
Donate through PayPal
Did Warren Buffett Buy Stocks in the Coronavirus Crash? The Answer Might Surprise You
Did Warren Buffett Buy Stocks in the Coronavirus Crash? The Answer Might Surprise You /Here's what we just learned about Berkshire Hathaway's cash hoard and its business performance/
Perhaps being idle /doing very little maybe best one ever do during crash...just sit and wait approaches
If Buffet was buying, he would be ignoring the indicator he has said is his favorite. So you have to ask what does he see that makes him thing the market isn't over valued?
The way people are buying, I suspect he sees rather more greed than fear in the market.
He got very bearish and exited all his airline holdings quickly. He still holding $billions in cash and that could imply there are few attractive opportunities.
I saw one video talking about the speed of this downdraft and bounce back was so fast he may not have had time to make some deals... many variables. Also in the video they said ..hey, he's 89 years old!!
Several Berkshire Hathaway's managers including Adit Jain, Greg Abel, and Todd Combs are part of the succession plan for sometime now. When Warren Buffet is not make big move now other than selling ALL airline stocks should signify there is little chance of this sector of returning to profitable in the near future. https://barrons.com/articles/coronavirus-news-updates-51588687892 He has more cash now than 2008 crisis when he bought a number of financial stocks, most notable Bank of America.
I sold 50% of brk.b, Warren maybe too old to do things now, may not be as vibrant as he once was, under performed compared to sp500 past few yrs so I pulled the plug. Even he recommended to buy sp500 during last speech
Comments
The way people are buying, I suspect he sees rather more greed than fear in the market.
https://markets.businessinsider.com/news/stocks/buffett-indicator-surges-record-high-signaling-potential-crash-2020-4-1029149296
According to this article, those holdings were worth 4 billion dollars in the not so distant past.
https://barrons.com/articles/coronavirus-news-updates-51588687892
He has more cash now than 2008 crisis when he bought a number of financial stocks, most notable Bank of America.
Did Buffet not get the memo that you can't fight the Fed? I read his investment obituary at one of the popular websites this week.
"Rage against the dying of the light"
https://www.google.com/amp/s/www.fool.com/amp/investing/2020/05/16/its-1987-again-warren-buffett-berkshire-hathaway.aspx