The Most Underappreciated Engine Inside Berkshire Hathaway Isn't the Cash Pile
This company's business model isn't quite as straightforward as you might think.
Overview
Anyone who owns a stake in Berkshire Hathaway (NYSE: BRKA) (NYSE: BRKB) may be more than a little frustrated that the company seemingly isn't doing anything with its idle cash. As of the latest look, it's got $397.4 billion on the sidelines, versus only $328 billion in stock holdings, at a time when the market is roaring.
Like predecessor Warren Buffett, though, current Berkshire CEO Greg Abel understands something many investors may not: This conglomerate's structure isn't what it seems on the surface. Its equity investments aren't necessarily the only growth engine.
Image source: Getty Images.
Details
Source
Originally published at www.fool.com.
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Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.