Berkshire Hathaway

B
erkshire Hathaway is the most expensive share in the world. As of February 2019, it
is trading at $305,085 per share. Berkshire Hathaway is an American multinational
conglomerate holding company headquartered in Omaha, Unites States.

In 1839, Oliver Chace established a textile manufacturing company, "The Valley Falls
Company". By the 20th Century, it got merged with Berkshire Fine Spinning Associates and
Hathaway Manufacturing Company. Today which is known as Berkshire Hathaway.

The reason why Berkshire Hathaway is the most expensive share in the world is Warren
Buffet. He is also known as "The Oracle of Omaha", is an American business magnate,
investor, and philanthropist, who is the chairman and CEO of Berkshire Hathaway. He is
considered one of the most successful investors in the world

By the late 1950s, Berkshire Hathaway couldn't show up to the market and went under loss.
In 1962, Warren Buffet intrigued by the company's long term success and strong balance
sheet, he began buying Berkshire Hathaway stock. By 1965 he owned a total of $14 million
in Berkshire Hathaway stock and took over the control by being majority shareholder.
Initially, he maintained the core textile business. But by 1967, he was expanding into the
insurance industry and other investments. By 1985, Berkshire Hathaway's textile operations
were shut down.

The question arises is that How is Berkshire Hathaway's Share the most expensive?
The Key to it is, Warren Buffet never wanted to split the shares. This led to an increase in the
value of each share over time. Splitting of Shares means to increase the total number of
shares by lowering the price accordingly.
While Warren Buffet dint split the shares, the total number of shares remained the same but
the value of each share went on increasing by time. This is the reason why the value of one
Berkshire Hathaway's Share is the most expensive.

In 2010, Buffett claimed that purchasing Berkshire Hathaway was the biggest investment
mistake he had ever made.
Who knew that one mistake could pay this big amount one day?

"It's far better to buy a wonderful company at a fair price than a fair company at a wonderful
price."
-Warren Buffet