At Rs 1 lakh, tyre maker MRF is India's most expensive share, going purely by the traded price.
If MRF is pricey, consider the stock price of Warren Buffett's company, Berkshire Hathaway. Class A shares of Berkshire Hathaway have traded above $500,000 apiece for almost a year now. That’s roughly over Rs 4 crore a share.
The stock closed at $513,655.58 on the New York Stock Exchange on June 13. Investors who have held the share for five years have seen its value rise by 80 percent.
Buffet, the CEO of Berkshire Hathaway, has said that even though the high price might make it difficult for some investors to buy the stock, it actually attracts the kind of investors he wants – they are patient and focused on long-term growth, rather than just making quick profits.
Buffet said there is no incentive in a lower-priced stock where there is more volatility. He prefers a stock that creates more intrinsic value for investors.
However, Buffet introduced 517,500 Class B shares in 1996, when the stock price was about $30,000. A stock split can happen in the case of Class B shares, unlike the Class A Berkshire shares. One stock split happened on January 21, 2010, in the ratio of 50:1.
Also read | MRF at Rs 1 lakh: Is it an 'expensive' stock?
Berkshire Hathaway has a market capitalisation of $737.34 billion. Buffet owns about 15 percent of the company through Class A shares and 0.01 percent of the company through Class B shares.
The five largest positions in Berkshire Hathaway's portfolio are in Apple, Bank of America Corp., Chevron, the Coca-Cola Company, and American Express.
Berkshire Hathaway, based in Omaha, Nebraska, is a holding company with businesses including insurance, energy supply, manufacturing, wholesale and retail, and rail freight.
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