Berkshire Hathaway spends $1.3 billion in 6 weeks
Berkshire Hathaway spends $1.3 billion in 6 weeks
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Warren Buffett’s Berkshire Hathaway (NYSE: BRKa) (SA: BERK34) has spent about $1.3 billion on share repurchases in the past 6 weeks, according to the well-known investor Again, view your company’s stock as a bargain. According to Business Insider.

Berkshire Hathaway is spending about $52 billion to repurchase its shares during 2020 and 2021.

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The number of Berkshire’s outstanding Class A shares fell 2,823 through April 20 on June 14, according to a company report this week. Buffett did not repurchase shares in April, while Berkshire’s Class A shares traded at an average of $465,000 in May and the first half of June, suggesting a payout of about $1.3 billion over six weeks.

Berkshire shifted the spending to buying shares in other companies. In the first quarter of this year, the company invested $41 billion in stock purchases on a net basis.

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Berkshire’s Class A shares also rose to a record $544,000 at the end of March, but have since fallen 23 percent to below $419,000. Buffett may have given up buying them because of their high prices in April, then repurchased them in May and June. The stock fell a bit after that.

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This approach is entirely in line with Buffett’s words:

“We never do anything that doesn’t add value to Berkshire Hathaway. We buy back shares only when it’s more attractive.”

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Jake Smith

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Jake Smith

He is the editor of Eragoncred. Previously, he was editor-in-chief of Eragoncred and a financial industry reporter. Jake has spent most of his career as a Digital Media journalist and has over 10 years of experience as a writer and editor.