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☆ This company models itself after Warren Buffett's Berkshire Hathaway. Analysts say it can beat the market too
▼ + stars: | 2023-05-21 | by ( Yun Li | ) www.cnbc.com time to read: +4 min

Founded in 1930 and with a market value today of $18 billion, Markel is first and foremost a specialty insurance company focused on niche markets like livestock and dude ranches. Some Wall Street analysts have praised Markel's recent performance against both peers and the broader market. Markel has returned 16.1% annually over the past three years while the S & P 500 has returned 12.4%, according to FactSet. "Given the favorable insurance market conditions in many of MKL's product lines, we believe the company's P/B multiple may expand if it can maintain solid profitability." Markel also has its appeal to Berkshire, which took a $600 million stake in Markel in early 2022.

☆ How TikTok sensation Squishmallows found Warren Buffett
▼ + stars: | 2023-05-13 | by ( Jonathan Stempel | ) www.reuters.com time to read: +4 min

May 13 (Reuters) - Squishmallows joined Warren Buffett's business empire two years after Lady Gaga, Kim Kardashian and others helped make the plush stuffed toys a viral sensation on TikTok. They married in 1993 and embarked on law careers, but Judd Zebersky soon realized that wasn't his destiny. Laura Zebersky, a litigator, sold her practice in 2005 and joined him, becoming Jazwares' president. "This was a brand that needed a lot of love," Judd Zebersky said. "Greg is exactly what we have all learned about the Berkshire model," Laura Zebersky said.

☆ Berkshire Hathaway shares rise as investors cheer earnings beat and Geico's quick turnaround
▼ + stars: | 2023-05-08 | by ( Yun Li | ) www.cnbc.com time to read: +3 min

Warren Buffett tours the grounds at the Berkshire Hathaway Annual Shareholders Meeting in Omaha Nebraska. Berkshire's B shares climbed 1.5% in premarket trading, set to add to their 5% gain so far this year. — Berkshire Hathaway shares rose on Monday as Warren Buffett's conglomerate wooed investors with a strong earnings report and an insightful "Woodstock for Capitalists" over the weekend. The strong performance was driven by a rebound in Berkshire's insurance business, especially auto insurer Geico. Geico's surprise recoveryGeico, the crown jewel of Berkshire's insurance empire and Buffett's favorite child, saw a big turnaround in the quarter, returning to an underwriting profit of $703 million.

☆ Stocks making the biggest premarket moves: PacWest, Berkshire Hathaway, American Airlines, AMC and more
▼ + stars: | 2023-05-08 | by ( Michelle Fox | ) www.cnbc.com time to read: +3 min

Pacific Western Bank signage is displayed outside of bank branch in Beverly Hills, California on May 4, 2023. Check out the companies making the biggest moves in premarket trading:PacWest — The regional bank popped 39% in premarket trading, adding to its nearly 82% gain on Friday. American Airlines — Shares gained about 3% in premarket trading Monday after JPMorgan upgraded the stock to overweight from neutral. Viatris — Shares added 2.4% after the health-care stock topped earnings expectations and reaffirmed full-year guidance, despite a shortfall in revenue. Fortinet — The cybersecurity company added 3.3% after being upgraded to buy from neutral by Bank of America.

☆ The most important thing Warren Buffett said Saturday, and it isn't good news for the economy
▼ + stars: | 2023-05-08 | by ( Yun Li | ) www.cnbc.com time to read: +3 min

Investors always look to Buffett for economic insights as his myriad of businesses are closely tied to broader spending and overall demand. If you couldn't sell them one thing, they would put another thing in their backlog," Buffett said. Still, Buffett thinks Berkshire is positioned well in terms of its investment income as higher interest rates are earning the conglomerate a substantial return. Berkshire has fared well so far despite a challenging macro environment with operating earnings jumping 12.6% in the first quarter. "Nothing is sure tomorrow, nothing is sure next year, and nothing is ever sure, either in markets or in business forecasts, or in anything else," Buffett said.

☆ Stocks making the biggest moves midday: Berkshire Hathaway, Catalent, Tyson Foods, Zscaler and more
▼ + stars: | 2023-05-08 | by ( Samantha Subin | ) www.cnbc.com time to read: +4 min

Berkshire Hathaway — The conglomerate's A shares rose more than 1% as investors cheered a strong earnings report from Warren Buffett's company. Tyson Foods — Shares plummeted 15% after the food production company posted an unexpected loss for the recent quarter and cut its revenue outlook for the year. PacWest - The regional bank stock held on to a gain of about 3% on Monday. Six Flags posted a narrower-than-expected loss of 84 cents per share, compared to expectations of a per-share loss of 89 cents, according to FactSet. Six Flags posted revenue of $142.2 million, greater than the expectation of $132.6 million, with CEO Selim Bassoul calling the results "proof points" that its new strategy is working.

[1/9] Investors and guests arrive for the Berkshire Hathaway annual shareholders' meeting in Omaha, Nebraska, U.S. May 6, 2023. Speaking at Berkshire's annual shareholder meeting, Buffett criticized how politicians, regulators and the press have handled the recent failures of Silicon Valley Bank, Signature Bank and First Republic Bank, saying their "very poor" messaging has unnecessarily frightened depositors. At the meeting, Berkshire shareholders reelected all directors and rejected shareholder proposals concerning climate change, diversity and political activities. LIGHTED MATCHBuffett said regulators were right to guarantee depositors of Silicon Valley Bank, saying that not doing so "would have been catastrophic." He also said bank shareholders and executives should bear the risks of mismanagement, with Munger criticizing executives concerned more with getting rich than with customers.

Speaking at the annual meeting of his conglomerate Berkshire Hathaway Inc (BRKa.N), criticized how politicians, regulators and the press have handled the recent failures of Silicon Valley Bank, Signature Bank and First Republic Bank, saying their "very poor" messaging has unnecessarily frightened depositors. The meeting featured Buffett, 92, who is Berkshire's chairman and chief executive, and Vice Chairman Charlie Munger answering five hours of shareholder questions. LIGHTED MATCHBuffett said regulators were right to guarantee depositors of Silicon Valley Bank, saying that not doing so "would have been catastrophic." Buffett defended the size of Berkshire's $151 billion Apple investment, saying consumers are less likely to shed their $1,500 iPhones than, for example, their $35,000 second cars. Many recognized it could be one of their last chances to see Buffett and Munger, given their ages.

Buffett spoke hours after Berkshire posted a $35.5 billion quarterly profit and said it bought back $4.4 billion of its own stock, a sign it considered the shares undervalued. The meeting features Buffett, 92, who is Berkshire's chairman and chief executive, and Charlie Munger, 99, a vice chairman, answering five hours of shareholder questions. Many recognized it could be one of their last chances to see Buffett and Munger, given their advanced ages. Yongsheng Zhao, who lives in Shanghai and is a researcher for an asset management firm, said he showed up at midnight to attend his eighth Berkshire meeting. "I am inspired by their passion and normalcy," he said, referring to Buffett and Munger.

☆ Warren Buffett set for 59th Berkshire Hathaway shareholder marathon as big questions loom
▼ + stars: | 2023-05-06 | by ( Jonathan Stempel | ) www.reuters.com time to read: +6 min

[1/2] Berkshire Hathaway Chairman Warren Buffett walks through the exhibit hall as shareholders gather to hear from the billionaire investor at Berkshire Hathaway Inc's annual shareholder meeting in Omaha, Nebraska, U.S., May 4, 2019. Tens of thousands of people are flocking to Omaha, Nebraska this weekend for the extravaganza that Buffett, 92, calls "Woodstock for Capitalists." "Charlie is 99 and Warren turns 93 on Aug. 30," Lountzis added, "and you just don't know how many more you're going to have." Buffett and Munger are due to answer five hours of shareholder questions at the meeting. "We believe in constructive engagement and dialogue, whether it's Warren Buffett or another company," Frerichs said in an interview.

☆ Warren Buffett says Berkshire managers were surprised by economic slowdown, earnings to decline
▼ + stars: | 2023-05-06 | by ( Yun Li | ) www.cnbc.com time to read: +2 min

— Warren Buffett struck a pessimistic tone about Berkshire Hathaway 's myriad of businesses on Saturday, saying he expects an earnings decline in light of an economic slowdown. Berkshire has fared well so far despite a challenging macro environment with operating earnings jumping 12.6% in the first quarter. And a number of our managers were surprised," Buffett said. The Federal Reserve just approved its 10th rate hikes since 2022, taking the fed funds rate to a target range of 5%-5.25%, the highest since August 2007. "It was more extreme in World War II, but this was extreme this time," Buffett said.

☆ Berkshire Hathaway's operating earnings increase 12% in the first quarter, cash hoard tops $130 billion
▼ + stars: | 2023-05-06 | by ( Fred Imbert | ) www.cnbc.com time to read: +2 min

Earnings for Warren Buffett's Berkshire Hathaway jumped in the first quarter, thanks in part to a rebound in the conglomerate's insurance business. Operating earnings, which encompass profits from the conglomerate's fully-owned businesses, totaled $8.065 billion in the first quarter. Profit from insurance underwriting came in at $911 million, up sharply from $167 million a year prior. The auto insurer suffered a $1.9 billion pretax underwriting loss last year as it lost market share to competitor Progressive. Berkshire's cash hoard swelled to $130.616 billion from $128 billion in the fourth quarter of 2022.

☆ Warren Buffett's Berkshire Hathaway sold a net $10 billion of stocks last quarter - but ramped up buybacks to over $4 billion
▼ + stars: | 2023-05-06 | by ( Theron Mohamed | ) www.businessinsider.com time to read: +2 min

Warren Buffett's Berkshire Hathaway reported first-quarter earnings on Saturday. Buffett's company sold $10.4 billion of stock on a net basis, and spent $4.4 billion on buybacks. The famed investor's conglomerate dumped $13.3 billion of stocks, and only bought $2.9 billion worth, meaning it sold $10.4 billion of equities on a net basis. On the other hand, Buffett's company ramped up its stock buybacks. Pilot contributed $9.5 billion of revenue and $83 million of net earnings to Berkshire in the two months ending March 31.

☆ Spain's Caixabank Q1 net profit rises 21% on lending income
▼ + stars: | 2023-05-05 | by ( Jesús Aguado | ) www.reuters.com time to read: +1 min

MADRID, May 5 (Reuters) - Spain's Caixabank (CABK.MC) said on Friday its net profit rose 21% in the first quarter from the same period in 2022 thanks to a strong increase in lending income and a solid performance of its insurance business. The lender reported a net profit of 855 million euros ($943.83 million) in the January to March period despite a cost of 373 million euros from a new banking tax. Analysts polled by Reuters expected a net profit of 643 million euros. Spanish lenders, including Caixabank (CABK.MC), Sabadell, Santander (SAN.MC), BBVA (BBVA.MC), have legally challenged the tax. Despite economic uncertainty, banks across Europe are benefiting from higher interest rates and Caixabank's net interest income in the quarter rose 49% year-on-year to 2.16 billion euros, beating the 2.02 billion euros analysts expected.

☆ Berkshire director: Buffett CEO heir an ideal fit, but changeover not imminent
▼ + stars: | 2023-05-05 | by ( Jonathan Stempel | ) www.reuters.com time to read: +2 min

But Olson added that Abel is likely “a good number of years off” from taking over, with Buffett and Munger still on board. Buffett publicly designated him as his likely successor as CEO in 2021, after Munger appeared to let slip the board's thinking at that year's annual meeting. After Buffett departs, Berkshire is expected to name his eldest son Howard as non-executive chairman to preserve its culture, where business units operate essentially without interference from the top. Upon becoming CEO, Abel would likely experience "more formality" in his relationship with directors than Buffett, who took over in 1965, now has. "The bottom line is, not only is Warren satisfied, Charlie is satisfied that Greg ... will carry out that culture," he continued.

☆ Bill Nygren buys this regional bank with strong deposits, says 'inappropriate role' of short selling contributing to fears
▼ + stars: | 2023-05-05 | by ( Samantha Subin | ) www.cnbc.com time to read: +3 min

Oakmark Funds' Bill Nygren scooped up shares of Truist Financial during the first-quarter banking rout that saw the collapse of Silicon Valley Bank . According to Nygren, investors are laser-focusing on Truist's mortgage portfolio and overlooking its insurance brokerage business. TFC 1D mountain Truist shares pop on Friday The bank recently sold 20% of its insurance brokerage business to private equity group Stone Point Capital . Beyond Truist, Nygren sees several opportunities in the sector. No 'spiraling fundamental problem' Despite some resurfacing bank fears, Nygren expects the sector to fair okay over the long haul.

☆ Buffett set for 59th shareholder marathon as big questions loom
▼ + stars: | 2023-05-04 | by ( Jonathan Stempel | ) www.reuters.com time to read: +6 min

[1/2] Berkshire Hathaway Chairman Warren Buffett walks through the exhibit hall as shareholders gather to hear from the billionaire investor at Berkshire Hathaway Inc's annual shareholder meeting in Omaha, Nebraska, U.S., May 4, 2019. Tens of thousands of people are flocking to Omaha, Nebraska this weekend for the extravaganza that Buffett, 92, calls "Woodstock for Capitalists." Buffett and Munger are due to answer five hours of shareholder questions at the meeting. "We believe in constructive engagement and dialogue, whether it's Warren Buffett or another company," Frerichs said in an interview. Reporting by Jonathan Stempel in Omaha, Nebraska; Editing by Will Dunham and Megan DaviesOur Standards: The Thomson Reuters Trust Principles.

☆ Car Insurance Rates Are Going Up Again
▼ + stars: | 2023-05-03 | by ( Leslie Scism | ) www.wsj.com time to read: 1 min

The rate increase comes amid inflation, higher claims costs and rising prices for auto parts, insurers say. Photo: patrick t. fallon/Agence France-Presse/Getty ImagesAllstate and Progressive , two of the nation’s biggest car insurers, say inflation continues to hurt their auto-insurance businesses, and are pushing ahead with additional premium-rate increases for vehicle owners. The two giants, and many other big car insurers, say higher claims costs continue to dent their results, despite slowing inflation. Prices continue to rise for auto parts, they say, and vehicles are taking longer to be repaired than in past years due to shortages of workers. Those delays, in turn, lead to extended rental-car use by policyholders, at the insurers’ expense.

☆ Why Warren Buffett Runs Berkshire Hathaway His Way - The New York Times
▼ + stars: | 2023-05-02 | by ( Roger Lowenstein | ) www.nytimes.com time to read: +3 min

Not surprisingly, Mr. Buffett has become a target for progressive institutional investors. (A resolution calling for Mr. Buffett to step down as board chairman, though not as C.E.O., fared the worst.) CalPERS, which manages retirement funds in California, demands that Berkshire publish an annual “assessment” on how it manages climate risks. (This is a good place to note: I’m not only a Warren Buffett biographer, I’m also a long-term Berkshire stockholder.) Mr. Buffett was the son of a conservative Republican who served four terms in Congress.

☆ Bright Health set out to disrupt health insurance. Now it's exploring a sale of its remaining insurance business.
▼ + stars: | 2023-04-28 | by ( Lydia Ramsey Pflanzer | ) www.businessinsider.com time to read: +3 min

Health insurance upstart Bright Health is exploring a sale of its remaining insurance business. Bright Health once had big plans to disrupt the way Americans get their health insurance. Now, it's exploring a sale of its California Medicare Advantage business — its only foot left in the health insurance world. It's happening at a time when it's also winding down its business providing health insurance to people on the Affordable Care Act (ACA) exchanges. Other insurers, including Clover Health and Oscar Health, have shifted from growing fast to focusing on turning a profit by any means necessary.

☆ Insurer Humana lifts profit view as medical costs drop in govt plans
▼ + stars: | 2023-04-26 | by ( ) www.reuters.com time to read: +2 min

April 26 (Reuters) - Humana Inc (HUM.N) raised its annual adjusted profit forecast on Wednesday after lower medical costs in the firm's government-backed health insurance business helped it beat profit estimates for the first quarter. That has driven increased investor scrutiny into whether one-time items are helping lower medical costs artificially, hurting shares of rivals UnitedHealth (UNH.N) and Elevance (ELV.N) earlier this month despite both beating profit estimates. Medicare Advantage is its main business of government-backed health insurance for the elderly or those with certain disabilities. The impact of its exit from the commercial business was not included in adjusted figures for the quarter, Humana said. Its adjusted profit came in at $9.38 per share, beating estimates of $9.27.

April 26 (Reuters) - Humana Inc (HUM.N) raised its annual adjusted profit forecast on Wednesday after lower medical costs in the firm's government-backed health insurance business helped it beat profit estimates for the first quarter. Some analysts stressed on increased investor scrutiny into whether certain one-time items were helping lower medical costs artificially. Humana CFO Susan Diamond said the insurer saw favorable cost trends in the quarter even as hospitals reported a recovery in procedures. On an adjusted basis, Humana expects annual profit per share of at least $28.25, compared with its previous forecast of at least $28. For the first quarter, it reported adjusted profit of $9.38 per share, beating estimates of $9.27.

MILAN, April 26 (Reuters) - Italian unlisted cooperative banking group ICCREA is awaiting by the end of May offers for its insurance business which it values at up to 950 million euros ($1.05 billion) in total, sources with knowledge of the matter said on Wednesday. ICCREA bought out its partner Cattolica, an Italian insurer now owned by bigger peer Generali (GASI.MI), after their accord expired at the end of last year and was not renewed, the three sources said. Cattolica and ICCREA had agreed in 2019 to extend until the end of 2022 their partnership under a deal that saw Cattolica raise to 70% its ownership of their insurance joint-ventures BCC Vita and BCC Assicurazioni. Now in possession of 100% of its insurance business, ICCREA is working with adviser KPMG to select new partners for both its life- and non-life divisions, the sources said. ICCREA Director General Mauro Pastore said in February the bank expected to select one or more partners for its insurance business by the end of the year.

Major equity indexes have been largely stable during the early stages of a first-quarter earnings season that investors expect to show tepid results. The Dow Jones Industrial Average (.DJI) fell 79.62 points, or 0.23%, to 33,897.01; the S&P 500 (.SPX) lost 0.35 points, or 0.01%, at 4,154.52; and the Nasdaq Composite (.IXIC) added 3.81 points, or 0.03%, at 12,157.23. The defensive utilities group (.SPLRCU) gained most among S&P 500 sectors, rising 0.8%. S&P 500 companies overall are expected to post a 4.8% decline in first-quarter earnings from the year-earlier period, according to Refinitiv IBES. The S&P 500 posted 16 new 52-week highs and one new lows; the Nasdaq Composite recorded 59 new highs and 123 new lows.

Major equity indexes have been largely stable during the early stages of a first-quarter earnings season that investors expect to show tepid results. The defensive utilities group (.SPLRCU) gained most among S&P 500 sectors, rising 0.7%. S&P 500 companies overall are expected to post a 4.8% decline in first-quarter earnings from the year-earlier period, according to Refinitiv IBES. Shares of Western Alliance Bancorp (WAL.N) surged 23% after the company posted stronger-than-expected earnings, helping lift the SPDR S&P Regional Banking ETF (KRE.P) 4%. The S&P 500 posted 15 new 52-week highs and one new low; the Nasdaq Composite recorded 48 new highs and 111 new lows.

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