Source: Fortune
Summary
Berkshire Hathaway, led by Warren Buffett, has invested $350 million in The New York Times, six years after selling off its newspaper holdings. Berkshire also increased its investment in Chevron and sold off shares in Bank of America and Apple. The move is seen as a vote of confidence in the Times’ digital business strategy. Berkshire’s quarterly update also showed a significant increase in Chevron shares, which has benefited from the US reinvigorating Venezuela’s oil business.
Our Reading
The numbers tell one story. Berkshire Hathaway’s $350 million investment in The New York Times is a surprising move, given Buffett’s previous prediction that the newspaper industry was “toast.” Berkshire’s increased investment in Chevron, which has benefited from the US reinvigorating Venezuela’s oil business, is also notable. The company sold off shares in Bank of America and Apple, but still holds significant stakes in both. Berkshire’s move into The New York Times is a vote of confidence in the company’s digital business strategy. The investment is a “full circle moment” for Berkshire Hathaway, which sold off its newspaper holdings six years ago.
Author: Evan Null
