Warren Buffett’s billion-dollar EV play backed BYD, so why not Tesla?
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Warren Buffett’s long-standing investment in China’s BYD is emerging as one of his most consequential moves in the electric vehicle (EV) space, not only for its returns but also for what it says about the kind of electric future the billionaire believes in. As Tesla’s stock slides and sales weaken under intense global competition and political headwinds, Buffett’s deliberate avoidance of Elon Musk’s high-profile EV giant, despite multiple public nudges from Musk himself, is telling. Buffett, known for his disciplined, value-based investing style, stunned markets back in 2008 when Berkshire Hathaway acquired a 9.9% stake in BYD for about $230 million. More than 15 years later, that stake has ballooned in value to between $6 billion and $8 billion, even after Berkshire trimmed its holdings to under 5% in 2024. The gradual reduction, seen by some as profit-booking rather than a loss of confidence, hasn’t changed the core message: Buffett got...