From the crawl on Bloomberg TV this morning:

BYD’s First-Half Net Income Triples to Hit Top End
of Forecast

-BYD Co.'s net income rose to the top end of guidance it gave
last month as record output and sales shielded China’s biggest
electric-vehicle maker from Covid disruptions and supply-chain

-Net income in the six months through June tripled from a year
earlier to 3.6 billion yuan ($521 million), the Shenzen-based
company said in a filing Monday.

-China’s BYD Aims to Rule EV World by Being Anything but Tesla

(All of you “T” people do not kill the messenger over this last
part of the crawl!!!)


Does Berkshire still hold BYD shares? If so, what is their present market valuation?

Looks like BHE has BYD ownership currently valued @ $7.848B, assuming we have not trimmed any of the 225,000,000 shares since the report. Cost basis of $232M.


I like BYD.

No worries there.

IIRC, BYD does battery some production for Tesla in China.


Reports out this morning that Berkshire Hathaway Energy has started to sell a small amount of BYD. Could it be the beginning of a much larger liquidation? Quite possibly.

So it’s something like 225m shares minus 1.3 million shares at the moment. (the HK listed shares 1211)

Happy Birthday Warren!



So from the BYD filing, we can estimate that as of 8/24 BHE had sold over $220 million USD worth of BYD stock. It probably continued after 8/24.

Big move in BYD today: down 8% on news Berkshire has sold some, which may indicate more will be sold.

Does this indicate that it’s not so easy for Berkshire to exit positions? Just as well Berkshire rarely sells.

A few value investors would have sold this before it got to what some might consider a fairly rich valuation. Will be interesting to see what happens from here. BYD is making less than $1 Billion per year which might include government subsidies. Versus a $110 Billion market capitalisation, even after today’s haircut. Still, they can grow into the valuation. They are doing well in a competitive business. Would simply take about a 10X in earnings.

I’d rather have the $6 Billion, or whatever Berkshire’s holding is, in cash or Alphabet or Berkshire shares. Would be a big tax bill on the $240 Million investment. What an investment that was.

We’ll see what happens.

BYD Update -

Berkshire Hathaway Energy is down to 207.14 million BYD shares (HK:1211) - down from long-held 225m share position. For whatever reason the number of shares being reported by the press are consistently understated because of the way the filing form rules work for the HK exchange.…

Berkshire Hathaway Energy has realized at least $615 million USD in proceeds from selling BYD shares as of 9/1. They have sold 17.86 million HK:1211 shares.


Warren must need some :couch_and_lamp: change