Berkshire Hathaway (Warren Buffett) – Top 10 Holdings Q1 2019

Johnny HopkinsWarren BuffettLeave a Comment

One of the best resources for investors are the publicly available 13F-HR documents that each fund is required to submit to the SEC. These documents allow investors to track their favorite superinvestors, their fund’s current holdings, plus their new buys and sold out positions. We spend a lot of time here at The Acquirer’s Multiple digging through these 13F-HR documents … Read More

Warren Buffett: Sometimes Buying A Basket Of Stocks In An Industry Is Better Than Picking Individual Stocks

Johnny HopkinsInvesting Strategy, Warren BuffettLeave a Comment

During the 2002 Berkshire Hathaway Annual Meeting Warren Buffett provided some great insights into why buying a basket of stocks in an industry is better than picking individual stocks. Here’s an excerpt from the meeting: AUDIENCE MEMBER: Hi, my name is Jennifer Pearlman from Toronto, Canada. Mr. Buffett, in 1998, you were asked to comment on the pharmaceutical industry, and … Read More

Warren Buffett: You Don’t Want To Buy Stock In The Company That Has To Do Everything Right

Johnny HopkinsInvesting Strategy, Warren BuffettLeave a Comment

Here’s a great recent interview with Warren Buffett speaking to Becky Quick at CNBC. During the interview Buffett, while speaking about Apple, provides some great insights into why investors should not buy stocks in companies that have to do everything right, saying: Apple, I’d love to see them succeed. That’s a company who can afford a mistake or two. You … Read More

Warren Buffett: Stocks – What Else In The World Don’t You Like To Buy Cheaper Than You’re Paying The Day Before?

Johnny HopkinsInvesting Strategy, Warren BuffettLeave a Comment

Here’s a great recent interview with Warren Buffett at CNBC discussing a number of topics including his value investing mindset. Here’s an excerpt from the interview: BECKY QUICK: I know you’re like Dr. Spock. You’re completely emotionless, when it comes to dealing with market moves. But is there any part of you that gets a little queasy, when you see … Read More

Warren Buffett: How’s That For A Strategic Plan?

Johnny HopkinsInvesting Strategy, Warren BuffettLeave a Comment

In the 1984 Berkshire Hathaway Shareholder Letter, Warren Buffett describes his and Munger’s suprising strategic plan for finding their big investment ideas, saying: “Using my academic voice, I have told you in the past of the drag that a mushrooming capital base exerts upon rates of return. Unfortunately, my academic voice is now giving way to a reportorial voice. Our historical 22% … Read More

Warren Buffett: There Is Only Three Ways A Smart Person Can Go Broke

Johnny HopkinsInvesting Strategy, Warren BuffettLeave a Comment

Over the years Warren Buffett has spoken about the absurdity of borrowing money to buy stocks. Here’s a great short video that encapsulates his thoughts. Our favorite quote from the clip is: (1:47) – “My partner Charlie says there is only three ways a smart person can go broke: liquor, ladies, and leverage. Now the truth is, the first two … Read More

Warren Buffett: “Berkshire Could Be A Rest Home For Activists”

Johnny HopkinsActivist Investing, Warren BuffettLeave a Comment

Here’s a great interview with Warren Buffett at Fortune’s Most Powerful Women Conference in which he discusses why he’s not a fan of activists, and the importance of having good communication with your shareholders in the case of an activist surfacing. Here’s an excerpt from the interview: Buffett: Activism is a saleable form and therefore it gets sold. Wall street … Read More

Charlie Munger: Moral Investing – We Could See It Was Like Putting $100 Million In A Bushel Basket And Setting It On Fire As We Walked Away

Johnny HopkinsCharles Munger, Investing Strategy, Warren BuffettLeave a Comment

Here’s a great video with Charles Munger and Warren Buffett at the 2005 Berkshire Hathaway shareholder meeting in which they discuss the moral distinction between buying a stock and a company. Here’s an excerpt from the video: CHARLIE MUNGER: Yeah. I think he’s asking in part, are there some businesses we won’t have as subsidiaries in Berkshire even though they’re … Read More

Warren Buffett Predicted The Fall Of Eddie Lampert And Sears Over 10 Years Ago

Johnny HopkinsEddie Lampert, Warren BuffettLeave a Comment

Here’s an article at Yahoo Finance discussing the bankruptcy of Sears and the prediction by Warren Buffett 10 years ago regarding the fall of Eddie Lampert and Sears. Here’s an excerpt from that article: The end for Eddie Lampert, the hedge fund manager in charge of Sears Holding Group, appears near. And Warren Buffett’s decade-old prediction is finally coming true. … Read More

WSJ: How Did Warren Buffett Respond To Lehman and AIG When They Asked For Help In 2008

Johnny HopkinsInvesting Strategy, Warren BuffettLeave a Comment

Here’s a great video from the WSJ in which Warren Buffett discusses the 2008 financial crisis, how he was approached by both Lehman Brothers and AIG when they asked for help, and why he turned them down. Buffett recalls being contacted by AIG saying: On Friday, preceding the weekend, I got a call from AIG. AIG was going to run out … Read More

Warren Buffett: 35 Books That Every Investor Should Read

Johnny HopkinsInvesting Books, Warren BuffettLeave a Comment

We recently started a series called – Superinvestors: Books That Every Investor Should Read. So far we’ve provided book recommendations from: Charles Munger: 32 Books That Every Investor Should Read Seth Klarman: 32 Books That Every Investor Should Read Together with our own recommended reading list of: 50 Of The Best Investing Books Of All Time This week we’re going … Read More

Warren Buffett: In The World Of Mergers And Acquisitions, A Limping Horse Could Be Peddled As Secretariat

Johnny HopkinsWarren BuffettLeave a Comment

While all of the Berkshire Hathaway shareholder letters are a must read for investors, the 1995 letter is notable for two reasons. The first is Buffett’s explanation of Berkshire’s ‘Woody Allen’ approach to investing. The second is Buffett’s commentary on acquisitions saying: “In any case, why potential buyers even look at projections prepared by sellers baffles me. Charlie and I … Read More

Warren Buffett (Age 21): The Security I Like Best (1951)

Johnny HopkinsInvesting Strategy, Warren BuffettLeave a Comment

Here’s a great article written by the 21-year-old Warren Buffett for The Commercial and Financial Chronicle dated Thursday, December 6, 1951. The article is a great illustration of how a young Buffett analysed GEICO for potential investment saying: “At the present price of about eight times the earnings of 1950, a poor year for the industry, it appears that no … Read More

Warren Buffett: How to Minimize Investment Returns

Johnny HopkinsInvesting Strategy, Warren BuffettLeave a Comment

In their Berkshire Hathaway 2005 shareholder letter Warren Buffett provided a great illustration of how shareholders continually sabotage their investment returns saying: “Long ago, Sir Isaac Newton gave us three laws of motion, which were the work of genius. But Sir Isaac’s talents didn’t extend to investing: He lost a bundle in the South Sea Bubble, explaining later, “I can … Read More

Warren Buffett: “The Worst Deal That I’ve Made”

Johnny HopkinsInvesting Strategy, Warren BuffettLeave a Comment

We’ve just been listening to a great podcast at NPR with Michael Batnick discussing his new book – Big Mistakes: The Best Investors and Their Worst Investments. During the conversation Batnick tells the story of Warren Buffett’s greatest mistake, the purchase of Dexter Shoes. Here’s how he describes it: “So what he did was he bought a company called Dexter Shoes. And … Read More

Warren Buffett: “Anytime That The Market Takes A Sharp Dive And You Get Tempted To Sell Or Something, Just Pull Out This Book And Reread It!

Johnny HopkinsBill Gates, Warren BuffettLeave a Comment

Here’s a nostalgic video with Bill Gates and Warren Buffett. At 2:13 Buffett says: “This is a book that first came out in 1949, The Intelligent Investor by Ben Graham. When I read this book it changed my life. Anytime that the market takes a sharp dive and you get tempted to sell or something, just pull out this book and reread it!”

Warren Buffett’s Three Best Investing Tips — Including ‘Margin of Safety’ — Explained

Johnny HopkinsValue Investing, Warren BuffettLeave a Comment

Here’s a great article at CNBC discussing Warren Buffett’s three best investing tips, including margin of safety: Warren Buffett believes investors should buy stocks within their “circle of competence” and at attractive values to succeed in the stock market. Buffett’s track record is unparalleled. From 1965 to 2017, Berkshire Hathaway’s rising market value generated a 20.9 percent annual return compared … Read More

Warren Buffett: The Prototype Of A Dream Business

Johnny HopkinsWarren BuffettLeave a Comment

Warren Buffett has often spoken about the importance of a business moat. In a presentation to the MBA students at the University of Florida Buffett said: “I want a business with a moat around it. I want a very valuable castle in the middle… and then I want the Duke who’s in charge of that castle to be honest and hardworking … Read More

Outperformance Means Living Through Periods of Underperformance

Johnny HopkinsWarren BuffettLeave a Comment

In Berkshire Hathaway’s latest annual shareholder letter Warren Buffett provides a great illustration of how price randomness in the short term can obscure longterm growth in value. His following real-life example demonstrates that in order to achieve longterm outperformance investors must suffer through periods of significant underperformance. Here’s an excerpt from that letter: Charlie and I view the marketable common … Read More