Categories
Lessons From Warren Buffett

Lessons From Warren Buffett: Keeping Your Head in a Market Bubble

Warren Buffett acknowledges that stock market prices can sometimes drift far from their underlying fundamentals. For him, these moments present both risks and opportunities.

“People get captivated simply by the notion of rising prices without going back to the underlying rationale,” Buffett said during the 1997 Berkshire Hathaway Annual Meeting. “That’s when you get very dangerous conditions in terms of possible bubbles.”

This disconnect isn’t limited to price surges. According to Buffett, market extremes occur both in booms and busts, driven by emotional reactions. “People behave in extreme ways in markets,” he observed. “And over time, that’s very good for people that keep their heads.”

Buffett’s advice? Stay grounded, focus on fundamentals, and take advantage of market misjudgments when others lose perspective.

Hear Buffett’s full explanation

See the complete Lessons From Warren Buffett series

© 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.

Categories
Minority Stock Positions

Berkshire Hathaway Trims DaVita Stake in Planned Share Repurchase

(BRK.A), (BRK.B)

Berkshire Hathaway, DaVita’s largest institutional investor, has sold 203,091 shares of the dialysis provider, reducing its ownership stake to 45%, according to a regulatory filing on Thursday. The transaction is part of an ongoing share repurchase agreement established between the two companies in April 2024.

Under the agreement, DaVita repurchases shares on a quarterly basis to ensure Berkshire’s stake remains at 45%. These buybacks are executed at a volume-weighted average price based on shares acquired from public investors during the period.

Over the years, Berkshire’s long-term ownership stake had been gradually increasing as DaVita continued its stock repurchases. This structured agreement provides an orderly mechanism for Berkshire to reduce its holdings while allowing DaVita to manage its capital structure effectively.

© 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.

Categories
Marmon Group UTLX

Berkshire Hathaway’s Railcar Giants Merge Forces for Greater Efficiency

(BRK.A), (BRK.B)

Union Tank Car Company (UTLX) and Procor Limited, both subsidiaries of Marmon Holdings, Inc., a Berkshire Hathaway holding company, have announced a strategic consolidation of operations across North America. This initiative aims to streamline processes, enhance collaboration, and improve customer service.

Under the new structure, UTLX and Procor will operate as a unified entity, aligning resources and expertise to better meet the evolving demands of the rail industry. “By consolidating our operations and realigning our leadership team, we are strengthening our ability to deliver consistent, high-quality products and services to our customers across North America,” said Neil Finn, President of UTLX and Procor.

Key Leadership Appointments:

Kate Suprenuk, President of Leasing and Manufacturing: With extensive experience in railcar leasing and finance, Suprenuk will oversee UTLX and Procor’s leasing and manufacturing operations, including key production facilities.

Jeremy DeLacerda, President of Engineering, Quality, and Repair: DeLacerda will lead engineering, quality, and repair operations across the network, leveraging over 20 years of industry experience.

Randy Pocrnick, Senior Vice President of Leasing Sales and Marketing: A veteran of Procor, Pocrnick will drive sales, marketing, and customer experience initiatives.

The transition is already in motion, with a strong focus on minimizing disruptions for customers and employees. UTLX and Procor remain committed to maintaining the highest standards of safety, quality, and operational excellence.

Together, UTLX and Procor operate a fleet of approximately 120,000 railcars, serving key industries such as chemical, petrochemical, energy, and agriculture. With this transformation, the companies aim to deliver even greater value and efficiency to their customers across North America.

© 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.

Categories
Lessons From Warren Buffett

Lessons From Warren Buffett: Barriers to Entry and Business Longevity

New businesses emerge constantly, reflecting the dynamic nature of the entrepreneurial world. However, for long-term investors like Warren Buffett, the focus is on businesses with high barriers to entry—features that protect them from being overwhelmed by competition.

At the 2012 Berkshire Hathaway Annual Meeting, Buffett emphasized the importance of these barriers. “There are some industries that are just never going to have barriers to entry,” he noted. “In those industries, you better be running very fast because there are a lot of other people…looking at what you’re doing and trying to figure out…what they can do a little bit better.”

In industries with low barriers, businesses must innovate and adapt quickly to stay ahead, making them less appealing for long-term investment. Buffett’s advice underscores the importance of choosing enterprises that are shielded from relentless competition.

Hear Buffett’s full explanation

See the complete Lessons From Warren Buffett series

© 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.

Categories
Brooks

Brooks Running Surges Ahead: Record Growth and Innovation in 2024

(BRK.A), (BRK.B)

Brooks Running, a subsidiary of Berkshire Hathaway, concluded 2024 with record-breaking global revenue, marking a 9% year-over-year increase. This milestone represents eight consecutive years of growth, with a 13% compound annual growth rate over that period. The brand’s international expansion played a significant role, with standout performances in Europe and Asia. In France and Germany, Brooks outpaced the performance running market, while in China, sales surged by an impressive 228%.

Dominance in the U.S. Market

For the third year in a row, Brooks maintained its status as the No. 1 adult performance running footwear brand in U.S. national retail. The brand also led in the specialty retail channel, experiencing a 19% year-over-year increase in Q4. The growing global interest in running was evident, with an 8% rise in race participation in the U.S. and running emerging as the fastest-growing sport on Strava.

Innovation Drives Sales

Brooks introduced updated versions of all its core footwear franchises in 2024, marking the first refresh since 2021. This innovation led to a 12% increase in active sales. The Ghost and Adrenaline GTS lines captured over 10% of the U.S. performance running market, while the Ghost Max saw a 203% revenue increase in its first full year. The launch of the Glycerin Max in September further bolstered sales, becoming the top-selling shoe on Tmall in China on its debut day. Additionally, the Hyperion speed franchise gained traction, with sales climbing 41% in China.

Expanding Brand Presence

In 2024, Brooks launched its global brand platform, “Let’s Run There,” reinforcing its mission to inspire runners. The campaign, featuring actor Jeremy Renner, won multiple Clio Awards and earned recognition in Fast Company’s “Brands That Matter” list. Brooks also engaged new audiences through collaborations, including a partnership with Extra Butter for exclusive sneaker designs and a sponsorship with the Seattle Kraken as their Official Off-Ice Performance Partner. Additionally, runDisney named Brooks its official running shoe sponsor.

Digitally, the Brooks Run Club surpassed 1 million members in North America and expanded into the U.K., with plans for further international growth in 2025. Brooks Running Clubs on Strava also saw remarkable growth, with membership increasing by 165% in the U.S. and 346% in Europe.

Investing in Running Communities

Brooks’ commitment to the sport extended beyond sales, supporting both elite athletes and grassroots initiatives. In 2024, Brooks Beast Josh Kerr secured an Olympic silver medal in the 1500m and set a new course record at the 5th Avenue Mile. Fellow athlete Michael Roeger also earned silver in the men’s 1500m T46 category, while the Brooks Beasts team set a new world record in the distance medley relay.

The company invested over $6 million in community impact programs, benefiting more than 800,000 runners worldwide. This included $4 million in gear and financial support for organizations like parkrun and $2 million through the Future Run program, which expands youth access to running.

With record-breaking growth, innovative product launches, and increased community engagement, Brooks Running continues to solidify its position as a global leader in performance running footwear.

© 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.

Categories
Berkshire Hathaway Specialty Insurance

Berkshire Hathaway Specialty Insurance Expands in Italy with Key Appointment

(BRK.A), (BRK.B)

Berkshire Hathaway Specialty Insurance (BHSI) has strengthened its presence in Italy by appointing Francesco Longobardo as Head of Casualty in Milan. This move marks the company’s expansion into the Italian casualty market, reinforcing its commitment to local underwriting expertise.

“We are excited to continue our expansion, with Francesco leading our entrance into the casualty market in Italy,” said Leonardo Castrichino, Country Manager, Italy, BHSI. “He will also continue to build out the team that will bring our financially strong casualty capacity and CLAIMS IS OUR PRODUCT advantage to customers and brokers in Italy.”

Francesco brings over 20 years of insurance industry experience, including 17 years in senior liability underwriting roles at a global insurer. Earlier in his career, he worked in insurance brokerage, giving him a well-rounded perspective on the industry.

In his new role, Francesco will oversee underwriting for primary and excess casualty insurance across various industry sectors. Based in Milan, he will play a key role in driving BHSI’s growth and service excellence in Italy.

© 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.

Categories
BYD

BYD to Build $1 Billion EV Plant in Indonesia as Global Expansion Continues

(BRK.A), (BRK.B)

BYD, the electric vehicle giant backed by Berkshire Hathaway, is set to expand its global manufacturing footprint with a new $1 billion EV plant in Indonesia. The facility will have an annual production capacity of 150,000 vehicles, strengthening Indonesia’s role in the EV industry.

The Indonesian government has granted BYD the right to import cars tax-free, making the country an attractive market for expansion. With a population of 278 million—just 16% less than the U.S.—Indonesia offers significant growth potential. The government has also set an ambitious goal of producing 600,000 EVs domestically by 2030, prioritizing foreign investments to accelerate this target.

In addition to its plants in China, BYD has been rapidly expanding its manufacturing presence worldwide. The company opened a factory in Thailand last June and has planned or ongoing facilities in Pakistan, Hungary, Turkey, Brazil, and Mexico. The new Indonesian plant will further solidify BYD’s position as a dominant player in the global EV market.

© 2025 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

Lessons From Warren Buffett: You Don’t Get Paid for Being Busy

In a world where markets often promote constant activity, Warren Buffett stands out for his legendary patience. How long is he willing to wait for the right investment opportunity? As long as it takes.

Speaking at the 1998 Berkshire Hathaway Annual Meeting, Buffett explained his approach: “We wait indefinitely. We are not going to buy anything just to buy something. We will only buy something if we think we’re getting something attractive.”

For Buffett, patience isn’t passive—it’s strategic. “If the money piles up, the money piles up,” he said. “When we see something that makes sense, we’re willing to act very fast, very big. But we’re not willing to act on anything that doesn’t check out in our view.”

Buffett’s philosophy highlights the value of discipline in investing. “You don’t get paid for activity,” he noted. “You only get paid for being right.”

For investors, it’s a timeless lesson: patience often leads to better decisions and greater rewards.

Hear Buffett’s full explanation

See the complete Lessons From Warren Buffett series

© 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.

Categories
Jazwares

Jazwares Unveils BLDR: A New Era in Construction Toys

(BRK.A), (BRK.B)

Jazwares, a global toy powerhouse under Berkshire Hathaway, has launched BLDR, an exciting new construction toy brand set to hit retailers this month. Designed for kids aged 8+ and collectors, BLDR offers immersive playsets and highly articulated buildable action figures inspired by some of the world’s most beloved franchises.

The debut lineup includes playsets and minifigures from Squishmallows, Hello Kitty and Friends®, and Adopt Me!, alongside anime-inspired buildable figures from Chainsaw Man and JUJUTSU KAISEN, streaming on Crunchyroll.

Key features include:

Squishmallows playsets with SquishBrik for a squeezable belly experience.

Hello Kitty and Friends® sets with double-sided play for enhanced storytelling.

Crunchyroll figures utilizing QuikBrik design for a stronger, fully customizable 9” build.

Adopt Me! playsets featuring articulated pets, strollers, and themed locations.

“BLDR was born from the opportunity to bring iconic brands into the construction space in a fresh, innovative way,” said Jeremy Padawer, Chief Brand Officer at Jazwares. “From Hello Kitty’s café to fully articulated anime figures, we’re thrilled to bring these beloved properties to life like never before.”

With its unique design elements and expansive play possibilities, BLDR is poised to redefine the construction toy category for fans of all ages.

© 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.

Categories
BNSF

BNSF Railway Announces $3.8 Billion Capital Investment Plan for 2025

(BRK.A), (BRK.B)

BNSF Railway has unveiled its $3.8 billion capital investment plan for 2025, emphasizing safety, reliability, and future readiness to meet customer needs.

“Our 2025 capital plan reflects BNSF’s commitment to supporting customer growth while operating a safe, efficient, and reliable railroad,” said Katie Farmer, President and CEO.

The majority of the investment—$2.84 billion—will focus on maintenance to keep the network in optimal condition. Projects include replacing 2.5 million rail ties, 410 miles of rail, and conducting surfacing work across 11,400 miles of track. These efforts aim to minimize service disruptions and enhance capacity.

Additionally, $535 million is allocated for expansion and efficiency initiatives, building on over $2.6 billion invested in similar projects over the past five years. Key developments include:

Completing the Cicero Intermodal Facility expansion in Chicago.

Advancing the Barstow International Gateway project in California.

Initiating plans for a future intermodal facility in Phoenix, Arizona.

BNSF will also continue constructing a third main line track near Needles, California, and increasing siding capacity near Phoenix to boost network capacity and service reliability.

This investment underscores BNSF’s dedication to meeting current and future demands while delivering strong service to its customers.

© 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.