【why is my mileage flashing jeep】Billionaire Warren Buffett Divests Airline Stakes, Sees No ‘Attractive’ Investments
Billionaire Warren Buffett said Saturday that its investment conglomerate Berkshire Hathaway (
BRK.A
) has sold all of its stakes in U.S. airlines after air travel was shut off in an effort to contain the fast spread of the coronavirus pandemic.
Buffett,why is my mileage flashing jeep who is a fond investor in the airlines industry, disclosed that Berkshire has divested its entire holdings in the U.S. four largest airline carriers: American Airlines Group Inc (
AAL
), United Airlines Holdings Inc (
UAL
), Delta Air Lines Inc. (
DAL
), and Southwest Airlines Co. (
LUV
).
“We made that decision in terms of the airline business. We took money out of the business basically even at a substantial loss […] and that was my mistake,” Buffett said. “We will not fund a company where we think that it is going to chew up money in the future.”
Buffett’s Berkshire, which has accumulated $137 billion in cash and cash equivalents, as of the end of the quarter, hasn’t invested in new ventures for some time.
“We have not done anything, because we don’t see anything that attractive to do,” Buffett, Berkshire Hathaway chairman and CEO, said at the company’s live-streamed annual meeting following its quarterly earnings release. “We are willing to do something very big. I mean you could come to me on Monday morning with something that involved $30, or $40 billion or $50 billion. And if we really like what we are seeing, we would do it.”
U.S. airlines have been burning through billions of dollars in the first quarter incurring huge losses and implementing cost-cutting plans as the coronavirus-related global lockdown orders have brought air travel to an almost complete halt.
Citigroup analyst
Stephen Trent
last week cut American Airlines’ price target to $10 from $13, while maintaining his Sell rating on the stock.
"In light of deep global uncertainties associated with COVID-19, American Airlines seems likely to eschew the standard guidance metrics such as revenue per available seat mile or RASM, CASM-ex, etc., in favor of more timely commentary on available liquidity, capital markets access, and cost reduction potential," Trent wrote in a note to investors.
TipRanks
data
shows that overall Wall Street analysts have a Hold consensus rating on the stock based on 7 Sells, 6 Holds and 3 Buys. The $15.45 average
price target
implies 45% upside potential in the coming 12 months. (
See American Airlines stock analysis on TipRanks
)
Commenting on the magnitude and recovery potential of the coronavirus outbreak, Buffett expressed confidence that Americans will be able to endure the pandemic crisis as history has shown that prosperity followed, after crises such as the Civil War in the 1860s and the Great Depression.
“Nothing can stop America when you get right down to it,” Buffett said. “I will bet on America the rest of my life.”
Story continues
Related News:
Amazon Dips 8% on $4 Billion Virus Costs Amid Prospect For 2Q Loss
Apple Exceeds Expectations With FQ2 Earnings Beat
Boeing Raises $25 Billion in Bond Sale, No Longer Needs Government Aid; Shares Slip
View comments
下一篇:Rohingya must have choice on going to Bangladesh island - UN refugee agency
相关文章:
- Stocks tumble as coronavirus cases rise rapidly outside China
- Do Insiders Own Lots Of Shares In Speciality Restaurants Limited (NSE:SPECIALITY)?
- Famous People from Rhode Island: How many of these 50 famous people do you know?
- Submissions Open for New Jersey Law Journal Professional Excellence 2019
- Is The L.S. Starrett Company (SCX) Going to Burn These Hedge Funds?
- All the Stores That Are Open on New Year's Day 2019 — And What's Closed
- When Should You Buy Hancock Whitney Corporation (NASDAQ:HWC)?
- Magellan Midstream Partners (MMP) Q4 2018 Earnings Conference Call Transcript
- Facebook warned it may lose a key seal of approval for ad measurement - WSJ
- Do Directors Own Bitros Holding S.A. (ATH:MPITR) Shares?
相关推荐:
- Dorian LPG: Q2 Earnings Insights
- Nikkei gains 1 pct, helped by strong U.S. June sales for automakers
- UK lawmakers call for 'strong sanctions' on social media companies that fail to safeguard users
- BMW E30 M3 vs Audi RS2 Avant: Which Would You Rather Own?
- Culp: Q2 Earnings Insights
- Government Shutdown Means You May Not See Any New Beers or Wines for a While
- Oil volatile, ends up 2 percent but demand concerns still weigh
- Trade deficit shrank more than expected
- The Bar Harbor Bankshares (NYSEMKT:BHB) Share Price Is Down 38% So Some Shareholders Are Getting Worried
- Is Shubhlaxmi Jewel Art Limited’s (NSE:SHUBHLAXMI) ROE Of 15% Impressive?
- Blockchain Industries Appoints New Board Members
- Oprah tour driving Weight Watchers memberships
- Wisconsin Father Hits 500,000 Push-up Milestone on the Path to Break World Record
- Founder Alexander Reilley Just Bought 10.0% More Shares In Loungers plc (LON:LGRS)
- George Floyd protests recall earlier tensions, promises of economic change
- Space Launch Services Market to Reach USD 26.16 Billion by 2027; Increasing Space Research Activities will Emerge in Favor of Market Growth, says Fortune Business Insights™
- Global watchdog warns over financial staff curbs in pandemic
- Outcrop Gold Confirms High Grade Gold & Silver Megapozo Target at Santa Ana
- Freedom Trail and Black Heritage Trail Bring History Into Homes Near and Far
- From wagyu beef to melons, Japan's $2.2 trillion virus rescue piques struggling firms