Berkshire Hathaway Shares Reach Eight-Month High
Shares of Berkshire Hathaway's Class A and Class B stock rose this week to their highest level in eight months, CNBC reported on Aug. 1. Barron's analysis said Berkshire shares have still significantly underperformed the S&P 500 this year, but the latest rally may have further momentum. Three of the largest holdings in the company's investment portfolio—Apple, Coca-Cola and Bank of America—have posted substantial year-to-date gains, providing support for Berkshire's share price. Apple, Berkshire's largest holding, now has a position valued at more than $70 billion and is up more than 13% year to date. Coca-Cola, the third-largest holding, represents a $35 billion position and has risen 25% this year. Bank of America, the fourth-largest holding, is up more than 12% year to date. UBS analysts raised their price target for Berkshire shares, maintained a "Buy" rating and increased their earnings forecast for the company. The market estimates that Berkshire's share repurchases in the second quarter could have reached as much as $11 billion. The exact figure is expected to be disclosed in the company's second-quarter earnings report, scheduled for Aug. 8.
Barron's analysis said Berkshire shares have still significantly underperformed the S&P 500 this year, but the latest rally may have further momentum. Three of the largest holdings in the company's investment portfolio—Apple, Coca-Cola and Bank of America—have posted substantial year-to-date gains, providing support for Berkshire's share price.
Apple, Berkshire's largest holding, now has a position valued at more than $70 billion and is up more than 13% year to date. Coca-Cola, the third-largest holding, represents a $35 billion position and has risen 25% this year. Bank of America, the fourth-largest holding, is up more than 12% year to date.
UBS analysts raised their price target for Berkshire shares, maintained a "Buy" rating and increased their earnings forecast for the company.
The market estimates that Berkshire's share repurchases in the second quarter could have reached as much as $11 billion. The exact figure is expected to be disclosed in the company's second-quarter earnings report, scheduled for Aug. 8.