Berkshire Hathaway shares drop 4% after poor fourth-quarter results
CNBC: Berkshire Hathaway shares drop after fourth-quarter earnings decline under new CEO Greg Abel.
Berkshire Hathaway’s stock fell by 4.8% as the conglomerate reported a significant decrease in fourth-quarter operating earnings. The decline was mainly attributed to a drop in underwriting profits in the insurance business. Despite hopes for more aggressive capital deployment signals from new CEO Greg Abel, the company reiterated its focus on reinvestment and share repurchases rather than initiating dividends. Analysts are divided on the company’s future performance, with some highlighting its defensive characteristics while others express disappointment in the lack of dividend payouts. Overall, Berkshire Hathaway faces challenges in maintaining its financial strength and profitability under Abel’s leadership.
