Buffet is the world’s fifth richest man in Forbes Real-Time Billionaires’ list with a net worth of nearly $118.3 billion (as estimated by Forbes).
Earlier this month, Berkshire Hathaway reported its best-ever quarterly results. Analysts were expecting its operating earnings to fall 8% on a revenue growth of 6%. But Buffett had a surprise in store for the Street.
A $27 million donation
Warren Buffett donated nearly $27 million of Berkshire Hathaway stock to an unnamed charity, the latest move in the billionaire investor’s plan to give away his fortune, Reuters had reported.
Berkshire had disclosed Buffett’s donation of 50 Class A shares in a filing with the U.S. Securities and Exchange Commission.
The donation was made on Aug. 15, when the shares closed at about $538,107.
It is separate from Buffett’s annual gifts to the Bill & Melinda Gates Foundation and four charities overseen by his family. They have received more than $51 billion from Buffett since 2006.
Buffett still owns 218,237 Class A shares of Berkshire, for an approximately 15% stake in the Omaha, Nebraska-based conglomerate he has run since 1965.
Buffett has said more than 99% of his net worth will go to charity.
Berkshire owns several dozen businesses including the BNSF railroad, Geico car insurance and many energy, manufacturing and retail operations.
As of June 30, it also owned more than $353 billion of stocks, half of which was iPhone maker Apple.
A Street daredevil
Warren Buffett’s investment wisdom transcends borders and generations, leaving an indelible mark on Indian fund managers including ICICI Prudential’s Naren and DSP’s Parekh. His philosophy of patient, value-based investing, stringent risk management, and long-term business ownership continues to guide their strategies and inspire generations of investors.
As Buffett celebrates another birthday, the Oracle of Omaha’s legacy continues to be celebrated not only in India’s mutual fund industry but across the world.
Buffett’s company had disclosed new investments in the homebuilders DR Horton, Lennar and NVR. The announcement comes amid rising interest and mortgage rates.
The investments were disclosed in a regulatory filing that detailed Berkshire’s U.S.-listed stock holdings, which comprise most of its $353.4 billion equity portfolio, as of June 30.
All were made during the second quarter, a down period for Berkshire’s homebuilding and remodeling businesses such as Clayton Homes, Benjamin Moore paint and Johns Manville insulation as rising interest and mortgage rates slowed demand.
But Berkshire said those effects have been partially offset by new construction activity resulting from low inventory of existing homes for sale, an environment that could benefit homebuilders.
Berkshire said that as of June 30, it owned about 5.97 million DR Horton shares worth $726.4 million, about 153,000 Lennar shares worth $17.2 million, and 11,112 NVR shares worth $70.6 million.
Larger investments are usually Buffett’s, and investors often try to piggyback on Berkshire’s moves, reflecting Buffett’s reputation as an investor.
Shares of DR Horton rose 2.8% and Lennar rose 2% in after-hours trading. NVR’s stock price tops $6,000 and its shares therefore trade more thinly.
Berkshire also owns dozens of operating businesses including the Geico car insurer, BNSF railroad, several energy, utility and industrial companies, and consumer brands such as Dairy Queen, Duracell, Fruit of the Loom and See’s Candies.
(With inputs from agencies)