Berkshire Hathaway May Not Be A Buy

Stock Market

The Chart of the Day belongs to the diversified insurance company or as some call it the largest closed-end conglomerate Berkshire Hathaway (BRK.B). I found the stock by sorting the stocks of the S&P 100 Index by the closest to their 52-week high and then used the Flipchart feature to review the charts for consistent price appreciation. Since the Trend Spotter signaled a buy on 3/2 the stock gained 8.04%.

Berkshire Hathaway Warren Buffet

BRK.B Price vs. Daily Moving Averages (Barchart)

Berkshire Hathaway Inc., through its subsidiaries, engages in insurance, freight rail transportation, and utility businesses worldwide. It provides property, casualty, life, accident, and health insurance and reinsurance; and operates railroad systems in North America. The company also generates, transmits, stores, and distributes electricity from natural gas, coal, wind, solar, hydroelectric, nuclear, and geothermal sources; operates natural gas distribution and storage facilities, interstate pipelines, liquefied natural gas facilities, and compressor and meter stations; and holds interest in coal mining assets. In addition, the company manufactures boxed chocolates and other confectionery products; specialty chemicals, metal cutting tools, and components for aerospace and power generation applications; flooring products; insulation, roofing, and engineered products; building and engineered components; paints and coatings; and bricks and masonry products, as well as offers manufactured and site-built home construction, and related lending and financial services. Further, it provides recreational vehicles, apparel products, jewelry, and custom picture framing products, as well as alkaline batteries; castings, forgings, fasteners / fastener systems, and aerostructures; and seamless pipes, fittings, downhole casing and tubing, and mill forms. Additionally, the company distributes televisions and information; franchises and services quick service restaurants; distributes electronic components; and offers logistics services, grocery and foodservice distribution services, and professional aviation training and shared aircraft ownership programs. It also retails automobiles; furniture, bedding, and accessories; household appliances, electronics, and computers; jewelry, watches, crystal, china, stemware, flatware, gifts, and collectibles; kitchenware; and motorcycle apparel and equipment. The company was incorporated in 1998 and is headquartered in Omaha, Nebraska. (Source: Seeking Alpha

Barchart’s Opinion Trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 20 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the website when you read this report.

I do not buy stocks because everyone else is buying but I do realize that if major firms and investors are dumping a stock it’s hard to make money swimming against the tide:

There seems to be a big disconnect between the professional investors who think the holdings are so diverse that they will mirror the market and the individual investors who worship Warren Buffet as the Greatest Investor Ever! I would never bet against Warren Buffet and Charlie Munger, but I think the pros do not have confidence in their successors. Keep stop losses in place for when that Black Swan event happens.

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