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APBerkshire Hathaway sell rating Berkshire Hathaway sell rating: Berkshire Hathaway has received a rare “sell” rating from analysts over concerns about its earnings outlook, leadership transition, and broader economic headwinds, as per a report.KBW Downgrades Berkshire to “Underperform”Keefe, Bruyette & Woods (KBW) downgraded Berkshire’s Class A shares to “underperform” from “market perform,” citing “many things moving in the wrong direction,” as quoted by Bloomberg. The downgrade makes it the only sell rating among six analysts tracked by Bloomberg who cover the company, as per the report.In a note released Sunday, analyst Meyer Shields said that “Beyond our ongoing concerns surrounding macro uncertainty and Berkshire’s historically unique succession risk — think the shares will underperform as earnings challenges emerge and/or persist,” as quoted by Bloomberg.ALSO READ: What's the 22nd Amendment and can it be changed for Trump to become President for a third term?Warren Buffett to Step Down on January 1Earlier this year, Berkshire named Vice Chairman Greg Abel as Buffett’s successor, as per the report. The billionaire investor, who has led the company for decades, will officially step down as chief executive officer on January 1, handing over the reins of the $1.2 trillion conglomerate he built into one of the world’s most valuable firms, as per the Bloomberg report.Live EventsBerkshire Hathaway’s massive portfolio includes holdings in Apple and American Express, along with its own businesses across insurance, energy, railroads, and consumer sectors, as per the Bloomberg report.ALSO READ: IRS drops 2026 tax brackets — here’s what top earners must know nowBerkshire’s Stock Lags Behind the S&P 500On Monday, Berkshire’s Class B shares slipped about 1%, while the stock has gained just 7.8% so far this year, falling behind the S&P 500 Index’s 16% gain, reported Bloomberg.Analysts Raise Concerns Over Berkshire’s Disclosure and Investor ConfidenceShields noted that succession concerns could weigh further on investor confidence, pointing to “what we see as unfortunately inadequate disclosure that will probably deter investors once they can no longer rely on Mr. Buffett’s presence at Berkshire Hathaway,” as quoted in the report.He added that continued challenges across several business divisions, including GEICO, Berkshire Hathaway Reinsurance Group, Berkshire Hathaway Energy, Burlington Northern Santa Fe, and the company’s investment income segment, could limit growth in the near term, as per the Bloomberg report.Economic Factors Add to the PressureThe anaysts also wrote that, “Believe GEICO’s likely underwriting margin peak, declining property catastrophe reinsurance rates, lower short-term interest rates, tariff-related pressure on the rails,” adding that “the risk of fading alternative energy tax credits will drive underperformance over the next 12 months,” as quoted by Bloomberg.FAQsWhy did Berkshire Hathaway get a sell rating?Analysts downgraded it due to earnings challenges, macro risks, and uncertainty about leadership after Warren Buffett steps down, as per the Bloomberg report. Who downgraded Berkshire Hathaway?Keefe, Bruyette & Woods issued the downgrade from “market perform” to “underperform”, as per the Bloomberg report.Add as a Reliable and Trusted News Source Add Now! (You can now subscribe to our Economic Times WhatsApp channel) Read More News onwhy Berkshire Hathaway got a sell ratingBerkshire Hathaway sell ratingBerkshire Hathaway downgradeBerkshire stock performanceBerkshire Hathaway Class A sharesWarren Buffett successionBerkshire HathawayBerkshire Hathaway stockWarren Buffett latest newsBerkshire Hathaway underperforming S&P 500 (Catch all the US News, UK News, Canada News, International Breaking News Events, and Latest News Updates on The Economic Times.) Download The Economic Times News App to get Daily International News Updates....moreless (You can now subscribe to our Economic Times WhatsApp channel)Read More News onwhy Berkshire Hathaway got a sell ratingBerkshire Hathaway sell ratingBerkshire Hathaway downgradeBerkshire stock performanceBerkshire Hathaway Class A sharesWarren Buffett successionBerkshire HathawayBerkshire Hathaway stockWarren Buffett latest newsBerkshire Hathaway underperforming S&P 500(Catch all the US News, UK News, Canada News, International Breaking News Events, and Latest News Updates on The Economic Times.) Download The Economic Times News App to get Daily International News Updates....moreless Explore More Stories123
