The One Unstoppable Reason to Buy Berkshire Hathaway (BRK.A) Stock Now
Warren Buffett’s empire defies gravity—again. While Wall Street chases meme stocks and crypto hype, BRK.A quietly prints generational wealth. Here’s why the Oracle’s machine keeps winning.
The moat you can’t ignore
Insurance cashflows. Railroad monopolies. Apple stakes. Berkshire’s diversified fortress spits out $20B+ in annual free cash flow—rain or shine. No speculative altcoin comes close.
Buffett’s boring edge
While traders gamble on Fed pivots, Berkshire buys entire infrastructure. Last recession? They scooped up Precision Castparts for $37B. Next crisis? The war chest hits $150B.
The kicker
BRK.A still trades at 1.3x book value—cheaper than most overhyped tech IPOs. Because nothing beats a century-old conglomerate… except maybe Bitcoin (just kidding, Wall Street).
Image source: The Motley Fool.
While Buffett's move out of the CEO role could create some uncertainty for the stock heading into next year, the company has a great team of analysts and seems to have a strong succession plan in place. Even with a key management transition on the NEAR horizon, there's a great reason to buy Berkshire Hathaway stock right now.
Berkshire Hathaway stock looks like a smart defensive investment
Berkshire stock has gained roughly 2% year to date as of this writing -- a performance that lags significantly behind theindex's gain of roughly 8%. Some of the reasoning for the relative underperformance is relatively clear.
Berkshire has been a substantial net seller of stocks over the last year and opted to stay on the sidelines as some growth-dependent plays have seen huge valuation gains and helped push major indexes to new record levels. While this has meant that Buffett's company has missed out on some of the effects of the market's recent rally, it also makes the investment conglomerate's stock more appealing as a defensive play right now.
Berkshire has a fantastic team of stock pickers, and the company has amassed a $344 billion cash pile that it will deploy when the team thinks bargains are available. For long-term investors, Berkshire continues to have the makings of a portfolio anchor with market-beating potential.
