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Investing Warren Buffett Watch

  Thursday, 25 Aug 2011 | 4:52 PM ET

Euphoria Over Buffett's $5 Billion BofA Investment Subsides

Posted ByDavid Faber
The euphoria that greeted Warren Buffett’s $5 billion investment in Bank of America Thursday has subsided as this day has worn on, but the boost in confidence brought on by having the world’s best known investor step into the weakest of the U.S. big banks is still being felt, if only modestly. »Read more
  Thursday, 25 Aug 2011 | 2:23 PM ET

Is Brian Moynihan's Credibility Hurt By Warren Buffett Deal?

Posted ByDrew Sandholm
The Bank of America CEO had protested the financial institution didn't need to raise capital, but then strikes a $5 billion deal with Warren Buffett a few weeks later, much to the ire of the "Fast Money" traders. »Read more
  Thursday, 25 Aug 2011 | 1:51 PM ET

Buffett Takes BofA Capital Increase Fears 'Off the Table': Shareholder

Posted By Christine Jenkins|Special to CNBC.com
After a $5 billion capital infusion in Bank of America by Warren Buffett, an analyst reiterated a “strong buy” on the company that was “being viewed as one of the weakest banks in the country, if not the world,” he said on CNBC on Thursday. »Read more
  Thursday, 25 Aug 2011 | 9:42 AM ET

Buffett Tells CNBC 'This Isn't 2008' As Bank of America Gets $5B Loan at Just 6%

Posted ByAlex Crippen
Warren Buffett
Getty Images
Warren Buffett

Warren Buffett tells CNBC's Becky Quick "this isn't 2008" and that's why Bank of America is getting better terms for its $5 billion loan today from Berkshire Hathaway, compared to what General Electric and Goldman Sachs paid for similar loans almost three years ago at the height of the credit crisis.

Bank of America shares jumped more than 9 percent to close at $7.65 in trading on Thursday.

Buffett is also stressing the investment was his idea, perhaps to downplay any fears that Bank of America is desperate for a cash infusion.

This morning, Bank of America announced that Berkshire will use cash to buy 50,000 shares of preferred stock with a liquidation value of $100,000 per share in a private offering.

That is, in effect, a loan to the bank, in which it will pay around $300 million in dividends each year to Berkshire. BofA can pay back that loan at any time, but it will have to make an additional 5 percent dividend payment to do so.

»Read more
  Tuesday, 23 Aug 2011 | 7:38 PM ET

Buffett's Bet on Chinese Electric Car Maker Coming Back to Earth

Posted ByAlex Crippen
Warren Buffett's bet on a Chinese electric car maker has been coming back to earth, dropping about $2 billion in value from its peak of almost $2.5 billion in October of 2009.  It's not, however, a total loss. Berkshire Hathaway's 10 percent stake in BYD is still worth around $460 million, double the $230 million it paid in September, 2008.  Could Buffett go all-in? »Read more
  Monday, 22 Aug 2011 | 1:49 PM ET

One Week Later, Buffett's Call for Higher Taxes on the Super-Rich Still Sparking Debate

Posted ByAlex Crippen
The strong debate sparked by Warren Buffett's call one week ago for higher tax rates on the "super-rich" continued through the weekend.  Here are some samples from around the country. »Read more
  Friday, 19 Aug 2011 | 3:56 PM ET

Rotblut: Don't Rely on a Single Indicator

Posted By Charles Rotblut |VP HKSCKPVIamp; Editor, American Ass'n of Individual Investors
I always encourage investors to look at a variety of indicators. By itself, any single indicator can lead you astray. More importantly, many indicators sound like they would be predictive, but are actually not very profitable. »Read more
  Friday, 19 Aug 2011 | 1:31 PM ET

Jon Stewart vs Warren Buffett's Conservative Critics

Posted ByAlex Crippen
Warren Buffett has been accused by conservatives of waging "class warfare" and using "intellectual tax dodges" with his "Stop Coddling the Super-Rich" call for higher tax rates on incomes over a million dollars a year.   One TV host asked if he is a "complete socialist."  Now, the Daily Show's Jon Stewart is taking on Buffett's conservative critics. »Read more
  Thursday, 18 Aug 2011 | 1:58 PM ET

Buffett a Hypocrite for Seeking Tax on Ultra-Rich: Laffer

The creator of the Laffer Curve called Warren Buffett a hypocrite for urging lawmakers to raise taxes on the super-rich to cut the budget deficit. "The hypocrisy of Warren Buffett is unfathomable." »Read more
  Wednesday, 17 Aug 2011 | 12:25 PM ET

Farr: Absolutely Wrong

Rarely, in our experience, are extremist positions in the financial world accurate and even more rarely are the helpful, says blogger Michael Farr. »Read more

About Buffett Watch

  • Warren Buffett is arguably America’s most-admired and most-followed investor. Buffett is the largest shareholder and CEO of Berkshire Hathaway and one of the world’s most famous and most generous philanthropists. Legions of investors - from all walks of life - follow Buffett's homespun investment philosophy: invest in what you know, invest in value. Here on CNBC.com's Warren Buffett Watch, we’ll keep you up to date on what the “Oracle of Omaha” is doing by following Buffett's trades, words and deeds.