Lessons From Warren Buffett: You Can’t Understand a Company By Reading Wall Street Reports

When it comes to evaluating a company, you can’t rely on the reports Wall Street provides you, according to Warren Buffett. You have to do your own work, reading annual reports, including the annual reports of a company’s competitors.

“You can’t read Wall Street reports and get anything out of them,” Warren Buffett said at the 1996 Berkshire Hathaway Annual Meeting. “You have to do it yourself and get your arms around it. I don’t think we’ve ever gotten an idea, you know, in forty years from a Wall Street report. But, we’ve gotten a lot of ideas from annual reports.”

Buffett’s full explanation on evaluating a company

See the complete Lessons From Warren Buffett series

© 2021 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

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