Famed investor Phil Fisher, author of Common Stocks and Uncommon Profits, believed that successful investing requires much more than analyzing financial reports. He emphasized the importance of “scuttlebutt” — gathering informal information from people connected to a company, such as competitors, customers, and employees.
Warren Buffett strongly agrees. At the 1998 Berkshire Hathaway Annual Meeting, he said, “I followed [Fisher’s] scuttlebutt method.” Buffett explained that while reading is essential, nothing beats firsthand research: talking directly to those who interact with the business every day.
Buffett’s advice highlights a key investing lesson — real-world insights can offer an edge that numbers alone often miss.
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© 2025 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.