Warren Buffett Tells Value Investors To Resist The Temptation To Speculate

Now, ET Now has decoded insights from Warren Buffett's views.

"Fear spreads like you can not believe until you've seen a few examples of it", Buffett said. "It's a very, very, very valuable product to people that build their lives around it".

"I was impressed with Jeff early".

He said he had grown more fond of Apple Inc AAPL.O , in which Berkshire has disclosed a roughly $20 billion stake, because he could "very easily determine" the iPhone maker's competitive position "and who is trying to chase them". Buffett, whose Berkshire Hathaway Inc.is a major shareholder of United and other big US airlines, said Monday, May 8, 2017, that the recent spotlight on poor customer service in the airline industry doesnt change his investment strategy.

"There's nothing more agonizing than to see your neighbor, who you think has an IQ 30 points below you, getting richer than you are by buying stocks, whether it's internet stocks or whatever", Buffett said.

Separately, on Amazon, he said, "I was too dumb to realise what was going to happen".

Buffett also criticized Wells Fargo's leadership Saturday for lackluster handling of a firm-wide sales scandal that affected thousands of customers across the U.S.

Buffett has often said he avoided tech stocks in the past because he didn't really understand how they were making money and whether they would be able to do so over the long term.

The two major tech companies in which Berkshire holds stocks are Apple and IBM.

Apple, which Buffett bought a stake in previous year, accounts for about 5.5% of Berkshire's portfolio.

Mr. Buffett said he was not bothered by initial US data showing the economy grew at just 0.7 % in the first quarter, saying it was "more or less" growing at 2% a year.

Mr. Buffett has said Berkshire could have a new chief executive within 24 hours if he died or could not continue, and that nothing had changed just because he praised fewer managers than usual in his February shareholder letter.

  • Arturo Norris