- Berkshire Hathaway (BRKB, $287.47), an American conglomerate owned by the world’s sixth richest person, Warren Buffet, reported a 20% jump from 2021 in its third-quarter operating earnings. It owns businesses like insurance, railroads, and utilities, and its earnings totaled $7.76B.
- Buffett has benefitted from declining equity markets due to recession fears and spent $1.05B to repurchase shares during the quarter. It also spent $3.7B buying stocks worth of assets and $1.05B to repurchase shares during the quarter, with a nine-month spending of $5.25B. Despite overall tension in the market, Berkshire Hathaway has fared well with Class A shares plunging only 4% compared to the S&P 500's 20% decline.
Why it matters
Berkshire’s success can be credited to increased demand and cost for home sales, industrial products, energy, and the fed’s interest rate hike helping the insurance business. However, this may be short-lived since its stock dipped 0.6% in the third quarter due to tumultuous market conditions.
