BRK has consistently made larger returns than the market as a whole. Plus, BRK is not correlated with the Market. More importantly, BRK's breakup value is far greater than its current share price. Buffet's long-term track record is indisputable.
It’s very clear that Buffett’s investment philosophy - capitalizing on value situations in companies that enjoy strong, sustainable competitive advantages in secular growth markets, and that will perform very well over the long term - has worked much more often than not. And most of the “mistakes” that some analysts point to are actually linked overwhelmingly to short-term market movements that could easily reverse.
The short-term weakness in the U.S. economy - which is reflected in the weakness of Berkshire’s stock price - makes Berkshire a bargain itself right now. And with Buffett at the helm, Berkshire will continue to be one of the most-profitable investments you’ll be able to find anywhere in the world.
But this is not a short-term play - or a stock for trading. It’s a long-term core holding - indeed, one of the best you’ll find. Therefore, I would buy Berkshire Hathaway in incremental stages on any weakness between now and the end of the year, as market conditions improve and tax-loss-selling on U.S. stocks abates.
