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Matt Levine, Columnist

Warren Buffett Took the Long View

Also hedge fund gates, private credit timing and a Trumpcoin treasury company.

A pretty cool thing that Warren Buffett did is that he bought a few billion dollars’ worth of Apple Inc. stock in 2016, when it was at around $25 per share, and then, over the course of nine years, it went up to about $200 per share.1 The Wall Street Journal this weekend had a recap of that trade, which has made a lot of money for shareholders of Berkshire Hathaway Inc., Buffett’s company. Here is some of the analysis that Berkshire did:

Buffett and his lieutenants did some research, saw that people liked the product, saw that the price/earnings multiple was reasonable, and concluded that the company’s earnings would grow in the medium term. So he bought the stock, and it went up.