Month: September 2021

Categories
Minority Stock Positions Stock Portfolio

BYD EV Sales Soar to Top of Charts

(BRK.A), (BRK.B)

Berkshire Hathaway-backed BYD sold 67,630 passenger vehicles in August, up 90.5% year-over-year and 18.7% month-over-month.

New energy vehicles (NEVs) contributed 60,508 units representing an increase of 331.9% year-over-year. Four consecutive months of booming sales and a series of monthly sales records underscore BYD’s successful strategic deployment and the widespread acceptance of its products in the market.

After hitting the 50,000-unit mark, BYD’s monthly new-energy passenger vehicle sales continue to grow, positioning BYD as a dominant player in terms of market share. The continued contribution of DM-i sales fueled further success for the DM model, which saw 30,126 units sold in August, up 555.6% year-over-year. Battery-electric vehicle (BEV) sales rose steadily to 30,382 units in the month, up 222.7% year-over-year.

According to the data of EV Sales, in July 2021, BYD returned to the top of the global NEV sales in a single month after 26 months, surpassing Volkswagen to claim third place in terms of cumulative sales from January to July.

BYD Han, the flagship model of the Dynasty series, sold 9,035 units in August.

BYD views safety as the biggest luxury of electric vehicles. This has allowed the BYD Han to increase safety performance to the highest level in the segment while allowing for optimal performance at the same time. In late July, BYD officially launched the DiLink 4.0 (5G) and the 5G Dynaudio Smart Music Cockpit upgrade package, which was developed for the Han EV all-wheel-drive high-performance flagship model, at the 2021 Chengdu Auto Show, bringing users more intelligent and efficient connectivity experiences.

The Qin PLUS DM-i set another sales record, as it sold 13,043 units in August, becoming the leader among DM models. With the powerful duo Qin PLUS DM-i and Qin PLUS EV, the Qin PLUS sold 20,676 units in August.

BYD and Berkshire Hathaway

In 2008, Berkshire Hathaway bet on BYD’s potential, purchasing 225 million shares for $232 million. It’s an investment that has paid off handsomely. Berkshire’s original investment of $232 million has grown in value to $5.897 billion as of December 31, 2020.

© 2021 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway and BYD, and this article is not a recommendation on whether to buy or sell a 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.

Categories
Minority Stock Positions Stock Portfolio

BYD Debuts Two New Battery-Electric Heavy-Duty Trucks

(BRK.A), (BRK.B)

Berkshire Hathaway-backed BYD has unveiled two battery-electric heavy-duty trucks, the Gen3 8TT and 6F, vehicles that combine performance, reliability, and driver comfort into stylish designs.

Unveiled at the ACT Expo in Long Beach, Calif., the Gen 3 8TT and 6F feature cabs styled by Wolfgang Josef Egger, the renowned former Audi chief designer. The stylish cabs offer improved aerodynamics and energy efficiency.

The trucks come standard with Advanced Driver-Assistance Systems (ADAS), making driving easier and safer.

The trucks are equipped with an Electronic Parking Brake system, offer keyless entry and push to start functions, and have up to 185kW CCS1 charging capability. The extended range version of the 8TT and 6F offer a range of up to 200 miles on a charge.

Gen 3 8TT is a versatile vehicle, capable of performing drayage, regional haul, and distribution work. The 6F can perform regional haul and distribution work. It can also be equipped with a body for refuse collection.

“We listen to our customers and their drivers to ensure we provide the features and performance they need to get a job done,” said Stella Li, President of BYD North America. “With our next generation 6F and 8TT, we’re making history by setting a new standard for driver comfort and safety in an electric vehicle.”

BYD Electric Trucks operate clean and quiet, and have significantly fewer moving parts than carbon-burning trucks. With less noise and vibration than conventional vehicles, BYD trucks provide the operator with an improved driving experience and safer work environment.

BYD, the world’s largest manufacturer of electric vehicles, is the leader in battery-electric truck deployments with more than 8,000 trucks in service around the world and over 200 in service across the United States.

BYD and Berkshire Hathaway

In 2008, Berkshire Hathaway bet on BYD’s potential, purchasing 225 million shares for $232 million. It’s an investment that has paid off handsomely. Berkshire’s original investment of $232 million had grown in value to $5.897 billion as of December 31, 2020.

© 2021 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway and BYD, and this article is not a recommendation on whether to buy or sell a 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.

Categories
Lessons From Warren Buffett Value Investing

Lessons From Warren Buffett: What the Wise Man Does in the Beginning, the Fool Does in the End

Excessive speculation, it’s the downfall of investors and markets time and time again, but as Warren Buffett notes, it often begins benignly when early investors see a previously unrecognized opportunity. However, as word of the opportunity starts to spread, it soon loses all relationship to underlying fundamentals and becomes nothing but sheer speculation and is doomed to end badly.

“It’s that old story of what the wise man does in the beginning, the fool does in the end,” Warren Buffett noted at the 2006 Berkshire Hathaway Annual Meeting. “And with any asset class that has a big move, that’s based initially on fundamentals, is going to attract speculative participation at some point, and that speculative participation can become dominant as time goes by.  And, you know, famous case always being tulip bulbs, I mean, tulips may have been more attractive than dandelions or something, so people paid a little more money for them. But once a price history develops that causes people to start looking at an asset that they never looked at before and to get envious of the fact that their neighbor made a lot of money without any apparent effort because he saw this early and so on, that takes over.”

Hear Buffett’s full explanation

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.

Categories
Acquisitions HomeServices of America

Berkshire Hathaway’s HomeServices of America Adds 400 Agents With Latest Acquisition

(BRK.A), (BRK.B)

Berkshire Hathaway’s HomeServices of America, Inc. has acquired of Berkshire Hathaway HomeServices Hudson Valley Properties, the leading real estate company in the Mid-Hudson Valley market for 29 consecutive years.

Financial terms were not disclosed.

Founded in 1980 by Steven Domber and headquartered in LaGrangeville, New York, Berkshire Hathaway HomeServices Hudson Valley Properties serves the counties of Dutchess, Ulster, Orange, Columbia, Putnam and Westchester with more than 400 agents in 13 offices.

For the 12 months ending in June 2021, Hudson Valley Properties closed nearly 4,300 units representing $1.53 billion of sales volume, earning more than a 24% market share.

The company originally joined the Berkshire Hathaway HomeServices network as an independent franchisee in 2014, and with this transaction, joins the HomeServices of America family of wholly owned companies.

Hudson Valley Properties ranks #303 among top 350 real estate brokerages in the United States and is a member of the prestigious Berkshire Elite Circle, ranking #31 in the top 50 brokers of the network worldwide. Domber, founder and president of Berkshire Hathaway HomeServices Hudson Valley Properties, is active in the real estate industry on both the state and national levels. He will continue in his current role as president running the day-to-day operations along with his sales management and leadership team.

HomeServices of America has earned the ranking of the largest real estate company based on closed transactions since 2019.

© 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 a 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.