Skip to content
Subscriber Only
Opinion
Anjani Trivedi

Warren Buffett Calls It Right on EV Batteries

The Sage of Omaha’s Berkshire Hathaway bet on China’s BYD looks like it’s paying off. It’s all about the technology.

Electrifying insight.

Electrifying insight.

Bloomberg

Warren Buffett gets lots of investments right with his patient and deliberate buy-and-hold strategy. And it’s becoming apparent that he’s doing it again with electric vehicles. For investors pouring money into the technology, it would be wise to consider how the Sage of Omaha has looked into the future of the sector.

The value of Berkshire Hathaway Inc.’s holdings in BYD Co. Ltd., one of China’s oldest makers of cars and automotive batteries, has skyrocketed this year: BYD’s share price is up almost 30%. Buffett has backed BYD for over a decade, holding around 22% in the Hong Kong-listed company, which now sits on a market capitalization of over HK$915.6 billion ($117.6 billion). That’s more than investor darling Nio Inc., the new-generation Chinese automaker listed in New York.