Berkshire Hathaway, led for decades by Warren Buffett, is regularly included among the world’s most valuable listed businesses.
Berkshire Hathaway began as a textile manufacturer, but Warren Buffett and his partners transformed it into a diversified holding company. Its businesses now include insurance, rail transportation, utilities, energy, manufacturing, retail, and investments in publicly traded companies.
Insurance is especially important because Berkshire can invest premiums collected before claims are paid. This pool of investable money is known as float. The company’s market capitalization reflects the combined value of its operating subsidiaries, investment portfolio, and financial resources.
Berkshire is not a conventional technology company or a single-product manufacturer. Its Class A shares are famous for their extremely high price, while Class B shares make ownership more accessible. Both share classes represent interests in the same corporate group.