economy
Berkshire earnings may prove stock is cheap. And that Abel and Buffett think so too
Berkshire may have repurchased roughly $8.5 billion of its own stock from April 15 through July 14, according to UBS.
TL;DR
- Berkshire Hathaway investors are looking for a sharp acceleration in share buybacks in the second quarter.
- Estimates suggest Berkshire may have repurchased approximately $8.5 billion of its stock between April 15 and July 14.
- This potential increase in buybacks would signal a more optimistic view of the company's valuation.
- Operating businesses, particularly insurance and railroads, are expected to show strong results.
- BNSF railroad is anticipated to benefit from accelerating traffic volumes.
- Berkshire Hathaway Energy is forecast to see increased revenue and pre-tax operating earnings.
- Geico's underwriting margins are expected to narrow as the insurer prioritizes growth.
- Investors will also assess how Berkshire is utilizing its large cash pile, including investments in Alphabet.