Berkshire Hathaway, the company built by legendary investor Warren Buffett, is like a giant holding cabinet filled with different businesses, not just one. This article takes a closer look at its fascinating story, how it invests, and the many interesting companies it owns, giving you a clear picture of this unique organization.
Berkshire Hathaway Highlights
The highlights of Berkshire Hathaway focus on every detail of its. from the founder to their portfolio details. This table shows everything:
Aspect |
Description |
---|---|
Founder |
Warren Buffett, a legendary investor and philanthropist, founded Berkshire Hathaway. |
Headquarters |
Omaha, Nebraska, United States |
Industry |
Conglomerate holding company |
Founded |
1839 (as Valley Falls Company) |
Acquisition Strategy |
Berkshire Hathaway has a long history of acquiring and holding investments for the long term. |
Investment Approach |
Known for its value investing principles and focus on buying undervalued assets. |
Stock Symbol |
BRK.A (Class A shares), BRK.B (Class B shares) |
Market Capitalization |
One of the largest publicly traded companies by market capitalization. |
Portfolio Diversity |
Holds investments in various sectors including insurance, transportation, and manufacturing. |
Annual Shareholder Meeting |
Berkshire Hathaway’s annual meeting is widely attended by shareholders and investors. |
Backstory of Berkshire Hathaway
- Chace founded Valley Falls in 1839, Berkshire Hathaway’s first company.
- The 1929 merger formed Berkshire Hathaway.
- Textiles and Berkshire Hathaway struggled in the 1960s.
- Young investor Warren Buffett bought cheap company stock in 1962.
- Buffett was board chairman and majority owner by 1965.
- With his business and investing skills, Buffett quickly turned Berkshire Hathaway into a holding company.
The making details:
With company money, he invested in cheap stocks and other companies. He ran Berkshire Hathaway-invested businesses as well. Berkshire Hathaway entered insurance early. The corporation made a smart 1967 acquisition of the financially troubled National Indemnity Company. Because the company underwrote high-risk insurance, Buffett was interested. Investing company savings in stocks was his suggestion.
Since the merger:
Business and investment portfolio performance has improved at Berkshire Hathaway. It bought See’s Candies, Dairy Queen, and GEICO. Coke, IBM, and American Express received investments. Berkshire Hathaway’s twenty billion Dollar purchase of Burlington Northern Santa Fe Corporation made headlines. Many considered the purchase a major US economy and transportation risk.
Berkshire Hathaway Business List
Here are the top businesses of Berkshire Hathaway:
Type of Industry |
Business Name |
Details |
---|---|---|
Insurance |
GEICO |
A major American auto insurer is Government Employees Insurance Company. Since 1936, it has offered car, house, tenant, and motorcycle insurance. The firm has practical jokes and commercial campaigns using a gecko character that people know about so much. GEICO ensures its clients get the best prices in the market with good customer relations. However, it has recently grown its operations to integrate digital services that enable one to control policies on the web or through mobile applications. Additionally, Warren Buffett runs GEICO, which Berkshire Hathaway owns. |
Berkshire Hathaway Primary Group |
Berkshire Hathaway insurance portfolio is dominated by the Primary Group. It covers for property, casualty, reinsurance and speciality. Berkshire Hathaway Reinsurance Group and GEICO are financially stable. Risk management has stabilized Berkshire Hathaway’s global finances for individuals, corporations, and organizations. |
|
Berkshire Hathaway Reinsurance Group |
Global reinsurance leader Berkshire Hathaway. Giving clients different types of reinsurance products and services in diverse sectors is possible because the Reinsurance Group has financial stability. In addition to its innovative risk management, underwriting, and customer service strategies, Integrity, reliability, and long-term partnerships enable Berkshire Hathaway Reinsurance Group to mitigate complex global risks. |
|
Railroad |
Burlington Northern Santa Fe |
BNSF serves as a significant North American railroad. Berkshire Hathaway developed it in 2010. For more than a century, BNSF has been moving products nationwide for thousands of miles. BNSF freight services power agriculture, energy, manufacturing and retail economies through safety, efficiency and innovation. |
Utilities and Energy |
Berkshire Hathaway Energy |
An affiliate Major energy company, Berkshire Hathaway Energy, invests in many sectors. Berkshire Hathaway Energy manages many US and international power producers, transmission and distributors and renewable energy projects. MidAmerican Energy, NV Energy, PacifiCorp, and others under Berkshire Hathaway Energy provide reliable, sustainable, and affordable energy solutions while promoting environmental stewardship and innovation in the emerging energy landscape. |
Manufacturing Businesses |
Precision Castparts |
Precision Castparts joined Berkshire Hathaway in 2016. Precision Castparts casts, forges, and machines high-performance aircraft engines, gas turbines, and other components since 1953. Advanced manufacturing and precision engineering make the company a trusted aerospace and industrial supplier. As a subsidiary of Berkshire Hathaway, Precision Castparts is known for making good items to suit all different kinds of consumers. |
Lubrizol Corporation |
Lubrizol Corporation of Berkshire Hathaway develops innovative lubricants, fuels and speciality chemicals worldwide. This was acquired in 2011 by Berkshire Hathaway from Lubrizol, a transportation firm for industry and consumers. The research work by Lubrizol is useful in enhancing industrial efficiency, sustainability and performance. Lubrizol solves complex problems and grows globally with cutting-edge technologies and customer-centricity. |
|
International Metalworking Companies |
Marmon Holdings |
Marmon Holdings is Berkshire Hathaway. Marmon, founded in 1953, provides transportation, manufacturing, construction, and services. Marmon’s innovative, efficient, and customer-focused portfolio includes top brands with quality and reliability. Berkshire Hathaway’s financial stability helps Marmon stay independent and entrepreneurial. Marmon pursues growth and benefits, customers and shareholders. |
Building Products |
Clayton Homes |
Throughout the United States, Clayton Homes builds both site-built and mobile homes. It dominates the US market for prefabricated and modular housing. We design, engineer, and assemble all of Clayton Homes’ homes in the US. With 11,750 homes constructed on-site and 53,000 constructed off-site, Clayton had a busy 2022. |
Shaw Industries |
Shaw Industries, a leading American carpet manufacturer, offers more than four thousand different carpet and wood flooring styles. Shaw oversees Shaw Sports Turf, Sawgrass, and Southwest Greens International, LLC, all producing artificial grass for landscapes, golf courses, and sporting events. Selling carpets to wholesalers and retailers nationwide is how Shaw makes money. Shaw supplied more than 46,000 stores, wholesalers, and businesses with carpet and flooring in 2022. |
|
Johns Manville |
Berkshire acquired insulation, roofing, fibre, and nonwoven company Johns Manville in 2001 for just under $2 billion. Aircraft, automobiles, appliances, filtration, and others use these. |
|
MiTek Industries |
The home improvement industry gets its hardware, computer manufacturing equipment, and engineered connectors from MiTek Industries. They also provide commercial companies with construction goods and services, including masonry, curtain wall systems, and light gauge steel framing. |
|
Benjamin Moore |
Benjamin Moore sells architectural coatings like paints, stains, and transparent finishes. More than eight thousand local shops carry Benjamin Moore paints and stains. |
|
Acme Brick |
Acme Brick makes and sells concrete and clay bricks in the southeast and south-central US. |
|
Consumer Products |
Forest River |
In addition to apparel, Berkshire owns Forest River, a recreational vehicle manufacturer; Duracell, a global alkaline battery maker; Albecca Inc., a high-end frame distributor; and the Richline Group, a precious and non-precious metal manufacturer and distributor. |
Service and Retailing |
McLane Company |
Buffett-owned McLane Company provides groceries and food services. Nationwide retailers, convenience stores, drugstores, and chain restaurants used McLane’s wholesale consumer goods distribution, logistics, and supply chain management 1894—the 2003 purchase by Hathaway. McLane Company distributes and delivers essential products efficiently, reliably, and creatively for consumer demand and growth in the ever-changing retail landscape. |
FlightSafety International |
FlightSafety trains pilots and mechanics on aircraft safety using cutting-edge flight simulators. Flight Safety makes and sells flight simulators to airlines and military bases. |
|
NetJets |
Customers seeking size, flexibility, and access to an extensive fleet of aircraft can join NetJets’ shared ownership program. Acquiring a certain percentage of the aircraft grants customers the right to use it annually for a predetermined number of hours. |
|
TTI |
Distributing small electronic components in bulk, TTI serves a diverse range of clients, including electronic manufacturing services, design and systems engineers, the military, and commercial enterprises around the globe. |
|
Retailing |
Berkshire Hathaway Automotive |
US auto dealer Berkshire Hathaway Automotive is tops. Many new and pre-owned vehicles from various brands at Berkshire Hathaway Automotive dealerships across multiple states offer unmatched choice and convenience. Integrity, transparency, and professionalism give the company great customer service and long-term relationships. Hathaway Automotive improves car sales, service, and financing. |
Home Furnishings Retailing |
Home furnishings are Berkshire Hathaway’s second-largest retail segment. These include Jordan’s Furniture, Star Furniture, Willey Home Furnishings, and Nebraska Furniture Mart. Their flagship retail operation, Nebraska Furniture Mart, has four locations and uses 4.5 million square feet for sales, storage, and offices. |
|
Other Retailing |
Borsheim Jewelry, Helzberg’s Diamond Inc., Ben Bridge Jeweler, See’s Candies, The Pampered Chef, Oriental Trading Company, and Detlev Louis Motorrad are among the many other businesses that comprise Berkshire’s other retail operations. |
Top Companies Owned by Berkshire Hathaway
This table also describes the top companies owned by Berkshire Hathaway and their experiences.
Company Name |
Founded & Acquired |
Founder & CEO |
Details |
---|---|---|---|
GEICO |
Founded: 1936 |
Leo Goodwin Sr. (Founder) |
One of the largest auto insurance providers in the US, GEICO has over 85 years of experience and competitive rates and innovative advertising campaigns. |
BNSF Railway |
Founded: 1996 (Acquired by Berkshire Hathaway in 2010) |
Kathryn M. Farmer (CEO) |
Since the 19th century, BNSF Railway has operated one of North America’s largest freight railroad networks, providing vital transportation services for various industries. |
Duracell |
Founded: 1924 (Acquired by Berkshire Hathaway in 2016) |
David A. Moon (CEO) |
For nearly a century, Duracell has been a leading battery and power product manufacturer known for its reliability and brand trust. |
The Pampered Chef |
Founded: 1980 (Acquired by Berkshire Hathaway in 2002) |
Tracy Britt Cool (CEO) |
Over four decades, The Pampered Chef has sold high-quality kitchen tools and products directly to home cooks and culinary enthusiasts, offering innovative solutions. |
Fruit of the Loom |
Founded: 1851 (Acquired by Berkshire Hathaway in 2002) |
Melissa Burgess-Taylor (CEO) |
Fruit of the Loom, a global underwear and casualwear manufacturer and marketer, has over 170 years of experience. |
Clayton Homes |
Founded: 1956 (Acquired by Berkshire Hathaway in 2003) |
Kevin Clayton (CEO) |
Clayton Homes is one of the largest builders of manufactured and modular homes in the US, offering affordable housing to families for nearly 70 years. |
NetJets |
Founded: 1964 (Acquired by Berkshire Hathaway in 1998) |
Adam Johnson (CEO) |
NetJets, a leader in fractional aircraft ownership and private aviation services, provides personalized travel solutions for discerning travelers worldwide with over 50 years of experience. |
Precision Castparts Corp. |
Founded: 1953 (Acquired by Berkshire Hathaway in 2016) |
Mark Donegan (CEO) |
Precision Castparts Corp. is a leading aerospace and industrial manufacturer of complex metal components and products made with precision engineering and quality craftsmanship for nearly 70 years. |
Kraft Heinz Company |
Founded: 2015 (Merger of Kraft Foods Group and H.J. Heinz Company) |
Miguel Patricio (CEO) |
A multinational food and beverage conglomerate, Kraft Heinz Company has a diverse portfolio of iconic brands and household favorites. |
See’s Candies |
Founded: 1921 (Acquired by Berkshire Hathaway in 1972) |
Pat Egan (CEO) |
See’s Candies has been making delicious chocolates and candies for over a century, delighting customers with timeless flavors. |
Conclusion
Berkshire Hathaway is the seventh biggest company in the Fortune 500 right now, with a total gain of $302.1 billion and a net loss of $22.8 billion in 2022 from all of its subsidiaries. Investment losses in a generally weak market, rather than operations, were the main drivers of losses. Operating earnings rose 12% from 2021. With over $128 billion in the bank, Berkshire can launch another massive subsidiary.
FAQs
1. In what number of businesses has Berkshire Hathaway put its money?
About 80% of Berkshire Hathaway’s 48 shares are in eight companies.
2. Berkshire Hathaway’s business: how far?
Berkshire Hathaway participates in various industries around the world.
3. Has Berkshire Hathaway a high corporate rank?
Berkshire Hathaway was worth $883.68 billion in February 2024. Our calculations place Berkshire Hathaway at number eight in global market capitalization.
4. How does Berkshire Hathaway choose which companies to acquire?
Berkshire Hathaway typically looks for companies with strong management, competitive advantages, and a history of consistent earnings.