Berkshire Hathaway invests in various companies worldwide according to the value approach, with the focus always on high profitability and solid management structures. The investment company is one of the 20 largest companies in America and enjoys a very good reputation. Unlike the usual investment companies, Berkshire Hathaway does not actively intervene in the business of the companies, but rather behaves passively.
Buffett’s credo used to be “only buy the companies whose business model you understand”. Although this motto has perhaps been softened a bit in the meantime, after all, the billionaire now has not only Coca-Cola and Chevron in his depot, but also more complicated companies from the technology sector. Most of his investments, however, still consist of the oil, insurance, transportation and finance industries.
In this series we present a few titles from the “Berkshire Hathaway Top 50” guru list.
Tip: As an onvista club customer, you get full access to watch lists of world-famous investors such as Bill Gates, Pat Dorsey, Carl Icahn and you can see which companies the top investors are betting on
Kraft Heinz: Global beverage and food company
Warren Buffett has, among other things, the Kraft Heinz security in his depot. This investment is rather not associated with his name, the reporting on this is low compared to other Buffett values. This is probably due to the fact that it is not necessarily one of the successful investments. Because Kraft Heinz has a long downturn behind it, the paper has lost massively in value. Only recently did the situation improve – things have been on the up again for a few months. Now it’s time to take a closer look at the investment.
Kraft Heinz is generally one of the largest food manufacturers in the world. The company was created through the merger of Kraft Foods and HJ Heinz in 2015. The Group’s food and beverages are also known in this country: Heinz tomato ketchup, Philadelphia cream cheese or the soft drink Capri Sonne.
Traditionally, many ready meals are part of the American product range. This aspect was also one of the criticisms of international investors for a long time: Kraft Heinz had overslept the trend towards healthy eating and was relatively poorly positioned in the area of sustainability, industry experts said again and again. Because of this, the share was spurned on the stock exchanges for a long time. But what is the situation today? Kraft Heinz is now in a healthier position and is increasingly meeting the ravages of time.
Chart technique: downward trend broken, things are going up again
From 2017 to 2020, Kraft Heinz recorded a sharp decline, at the top the paper lost around 70 percent of its value. The price only stabilized in the middle of last year. The negative line on the chart was broken, which was the first positive signal.
Initially, the food company’s stock traded sideways around $ 30. Only a few months ago, the US title was able to break away from the brand to the north.
The following figure shows the share since 2018 (on the home stock exchange in US dollars, candlestick chart):
Figure: Kraft Heinz has been through a long downward slide, but the downward trend has now been broken and things are going up again – created with the onvista chart toolSince then, the chart has brightened significantly. Overall, a new upward trend established itself, which is underpinned by the new, ascending chart line.
This trend line is currently at $ 34.77. This results in a good risk-reward ratio for the share. Initial resistance is around $ 48, while initial support can be found at around $ 36.
By Bernd Raschkowski
Cover photo: Jonathan Weiss / Shutterstock.com
You would like to find out which company Berkshire Hathaway has currently invested? Or what if you could look into the portfolios of the world’s largest investors?
To take a look at the depot of Carl Icahn, Pat Dorsey, Seth Klarmann or Joel Greenblatt (the author of the “Magic Formula”) – that would be something. The so-called 13F forms of the SEC provide information on this. But these documents are difficult to understand and it takes hours to analyze this data.
We have made the effort and neatly prepared the portfolios of the greatest investment legends for you. As an onvista club member, you can see the portfolios of world-famous and successful investors in our guru lists.
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You can also read the analyzes of other top investors:
Adobe: That’s why top investor Chuck Akre has the stock in his portfolio
KKR & Co .: That’s why top investor Chuck Akre has the share in his portfolio
Danaher: That’s why top investor Chuck Akre has the stock in his portfolio
Pat Dorsey has this stock in his portfolio: Paypal
Pat Dorsey has this stock in his portfolio: Ebay
Pat Dorsey has this stock in his portfolio: Roku
Bill Gates has this share in his portfolio: Amazon
Bill Gates has this share in his portfolio: Twitter
Disclaimer & Disclosure:
This text does not represent an invitation to buy or sell securities. No liability is assumed for the correctness and completeness of the information or for financial losses. The author is not invested in the discussed security.