Even Warren Buffett does not play all – recent losses from two large investments from
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- Berkshire Hathaway of Berkshire Warren Buffett has recently taken a great hit in his possession of Kraft Heinz and written the value of his share of billions of dollars.
- The news followed the decision of Berkshire last year to sell out from its position in Paramount Global, becoming a sturdy loss after becoming one of the best shareholders in the entertainment giant.
- Buffett, a legendary investor operated by Berkshire Hathaway for six decades, is about to resign from his role at the end of this year.
Warren Buffett, known for his investment prowess, has recently had several clunkers.
Berkshire Hathaway (BRK.B), a conglomerate that has been running Buffett for six decades, announced at the weekend, which took a huge huge investment in Kraft Heinz (KHC), one of the biggest betting of the company over the last decade. Last year, Berkshire sold out from her position in the media and entertainment giant Paramount Global (Para), reported at a huge loss.
These were unusual incorrect steps for 94 -year -old Buffett, who is preparing for the role of CEO in Berkshire Hathaway at the end of this year. Some of the largest investments of Buffett, such as Apple (AAPPL), American Express (AXP) and Coca-Cola (KO), paid off for the company skillfully, as in smaller companies and businesses that Berkshire directly owns.
Berkshire class B shares dropped by almost 3% on Monday and for US stocks they aroused a wider assembly because investors spent reports on Kraft Heinz’s delay and a decline in operational earnings in the second quarter. By the end of Monday, the shares gained only 1.3% of the sale at the beginning of 2025 and was 15% below the record high set in early May just before Buffett announced that it would resign while the S&P 500 Benchmark increased by 7.6% this year and was high.
Massive written off Kraft Heinz
Berkshire stated on Saturday in its quarterly submission of SEC that it reduced the accounting value of its share Kraft Heinz (KHC) by about $ 3.8 billion after taxationIn the second quarter. Berkshire said that many “other than tempera” factors made the company to record their unrealized losses in Kraft Heinz, Berkshire said.
The refreshment and beverage manufacturer announced in May that he has examined “strategic transactions”, including the potential distribution of his business, The Wall Street Journal Reported.
In the same month, two representatives of Berkshire, Timothy Kenesey and Alicia Knapp resigned from the Kraft Heinz Council, after which Berkshire said it would not deserve any more activities of society than the general public.
Deviations from the Board of Directors led to speculation that Berkshire was about to leave his share of 27.4% In Kraft Heinz. Berkshire owned a considerable share in society since Kraft and Heinz merged in 2015. Kraft Heinz shares lost more than two thirds of their value in 2017 in 2017.
Buffett received an exclusive credit for loss of paramount
Last year, Berkshire left his stake in Paramount Global, which concluded them on Thursday with a massive Mege agreement with Skydance Media.
Berkshire sold out his position Paramount only a few years after gaining a non -voting share in the media society. Berkshire became one of the big shareholders, with a roughly 10% share in the company by the end of 2023. While Berkshire did not invite his loss to Paramount, and Business Insider Calculations of the Zanozanos estimate that the company’s intervention could be more than $ 1 billion.
Buffett said at the annual shareholders’ meeting in Berkshire in 2024 that he was solely responsible for the Paramount loss, after speculation that another investment manager Berkshire was Black: “I just want to be very clear that a)
With the “Oracle of Omaha”, which is set to leave the best place in Berkshire, there is a huge reflector of $ 344 billion in a pile of cash and equivalents of the company.
The noble awards made it difficult for the company to deploy this cash, included the purchase of its own shares. Berkshire wouldn’t have done a reparase if the shares were “almost certainly” underestimated, Buffett said at the annual meeting of the company in May, when And the end of the year gave Baton Greg Abel.