Giverny Capital Asset Management, LLC, an investment management company, recently published its third-quarter 2024 investor letter. A copy of the letter can be downloaded here. The portfolio returned 6.99% in the third quarter compared to a 5.89% return for the S&P 500 Total Return Index. The fund returned 20.16% year-to-date compared to the 22.08% return for the Index during the same period. The strategy continued to benefit from the exceptionally robust US stock market. For more information on the fund’s top picks in 2024, please check its top five holdings.
Giverny Capital Asset Management highlighted stocks like Hathaway Inc. (NYSE:BRK-B), in the third quarter 2024 investor letter. Incorporated in 1998, Berkshire Hathaway Inc. (NYSE:BRK-B) engages in insurance, freight rail transportation, and utility businesses. The one-month return of Berkshire Hathaway Inc. (NYSE:BRK-B) was -0.30%, and its shares gained 30.44% of their value over the last 52 weeks. On November 1, 2024, Berkshire Hathaway Inc. (NYSE:BRK-B) stock closed at $452.14 per share with a market capitalization of $952.008 billion.
Giverny Capital Asset Management stated the following regarding Berkshire Hathaway Inc. (NYSE:BRK-B) in its Q3 2024 investor letter:
“We had a quiet quarter. We sold the last of our shares in Floor & Décor in July and trimmed Progressive and Berkshire Hathaway Inc. (NYSE:BRK-B). With Progressive and Berkshire, we trimmed both stocks into strength. With Berkshire, the company has had a remarkable run, up about 30% through September, quite impressive given Berkshire’s enormous size. Berkshire has a quality collection of mostly mature assets that throw off a lot of cash but don’t grow especially fast. It has an enormous pile of cash that Mr. Buffett could invest in a time of crisis – but importantly, he has not really done much investing in recent years. I feel Berkshire is a fine company to hold, especially for those with very low-cost basis, but it is unlikely to generate outsized future returns. Thus, I trimmed the position.”
A team of insurance professionals in a boardroom overlooking a city skyline.
Berkshire Hathaway Inc. (NYSE:BRK-B) is in 14th position on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 120 hedge fund portfolios held Berkshire Hathaway Inc. (NYSE:BRK-B) at the end of the second quarter which was 119 in the previous quarter. While we acknowledge the potential of Berkshire Hathaway Inc. (NYSE:BRK-B) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
In another article, we discussed Berkshire Hathaway Inc. (NYSE:BRK-B) and shared the list of stocks that hedge funds, and mutual funds are in love with and those that they hate according to Goldman Sachs. In addition, please check out our hedge fund investor letters Q3 2024 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.