Warren Buffett as 'bearish as he ever gets' as cash holdings double
In Berkshire Hathaway (BRK-B, BRK-A) Chairman and CEO Warren Buffett's annual letter to shareholders released over the weekend, the so-called "Oracle of Omaha" reported that the legendary investment firm's cash holdings nearly doubled in 2024 to $334.2 billion. Smead Capital Management CIO Bill Smead comes on to Wealth to highlight his takeaways from Berkshire's latest earnings report, such as why the company's massive cash holdings is more of a bearish indicator. "The first thing is he [Buffett] said there's nothing compelling," Smead tells Brad Smith. "A year and a half ago, he said [that] the kind of large, wide-moat, high-quality companies with high return on equity that they like to buy have been endlessly picked over. So he's gone comb to comb, endlessly picked over, nothing compelling." Watch the video above to also hear Smead's take on investing on top homebuilders like D.R. Horton (DHI). The legendary investment firm released its latest earnings results over the weekend alongside Buffett's annual letter to shareholders. Catch up on how Berkshire Hathaway has been adjusting its investment portfolio in recent months, including the firm's five biggest holdings. To watch more expert insights and analysis on the latest market action, check out more Wealth here. This post was written by Luke Carberry Mogan.
