Why Buffett's 50th Anniversary Was a Dud for Investors: 4 Charts
- Stock slumped 12% during 2015, showing challenges ahead
- Book value growth slowed, major investments lagged S&P 500
Buffett's Berkshire Shares Slump 12% on Sagging Stocks
Berkshire Hathaway Inc. investors had plenty to celebrate at the start of 2015. It was Warren Buffett’s golden anniversary running the company, which had grown under his watch from a struggling textile maker to include dozens of profitable businesses like auto insurer Geico and railroad BNSF. Class A shares were trading close to a record, at $226,000 each.
If anything, though, last year highlighted some of the challenges Buffett faces keeping his money-making machine moving forward. Even as he agreed to one of his biggest deals ever and made billions on an investment in the food industry, the company’s stock slumped. It ended the year down 12 percent, compared with the 0.7 percent fall in the Standard & Poor’s 500 Index. Here are four charts that illustrate why: