Most of Berkshire Hathaway's Earnings Don't Come From Its Stock Portfolio. Here's Where They Do Come From.
The famous stock picks get the coverage. The paycheck mostly comes from somewhere else.
Overview
Berkshire Hathaway (NYSE:BRKA)(NYSE:BRKB) owns arguably the most famous stock portfolio in the world -- the one Warren Buffett spent decades assembling. It was worth about $324 billion when the second quarter ended, and about two-thirds of it sits in just five companies, including Apple, Coca-Cola, and American Express.
But for all the attention those holdings get, they aren't the main source of Berkshire's earnings. The conglomerate also owns businesses outright, including a major railroad, utilities, GEICO and other insurers, and dozens of manufacturers, service companies, and retailers.
Details
Those wholly owned operations, not the stock picks, produce most of what Berkshire earns. And lately, the gap has been widening.
Source
Originally published at www.fool.com.
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