Warren Buffett, fully Warren Edward Buffett, aka Oracle of Omaha

Warren
Buffett, fully Warren Edward Buffett, aka Oracle of Omaha
1930

American Businessman, Investor and Philanthropist, Chairman and CEO of Berkshire Hathaway

Author Quotes

Time is the friend of the wonderful company, the enemy of the mediocre.

We felt that the risk profile had changed.

What motivates most gold purchasers is their belief that the ranks of the fearful will grow. During the past decade that belief has proved correct. Beyond that, the rising price has on its own generated additional buying enthusiasm, attracting purchasers who see the rise as validating an investment thesis. As 'bandwagon' investors join any party, they create their own truth — for a while.

Wild swings in share prices have more to do with the "lemming- like" behavior of institutional investors than with the aggregate returns of the company they own.

You know, people talk about this being an uncertain time. You know, all time is uncertain. I mean, it was uncertain back in 2007 - we just didn't know it was uncertain. It was uncertain on September 10th, 2001. It was uncertain on October 18th, 1987 - you just didn't know it.

There are all kinds of businesses that Charlie and I don’t understand, but that doesn’t cause us to stay up at night. It just means we go on to the next one, and that’s what the individual investor should do.

Today people who hold cash equivalents feel comfortable. They shouldn't. They have opted for a terrible long-term asset, one that pays virtually nothing and is certain to depreciate in value.

We have three managers at Berkshire who are reasonably young and fully capably of being CEO.

What the wise do in the beginning, fools do in the end.

With enough insider information and a million dollars, you can go broke in a year.

You leave yourself an enormous margin of safety. You build a bridge that 30,000-pound trucks can go across and then you drive 10,000-pound trucks across it. That is the way I like to go across bridges.

There comes a time when you ought to start doing what you want. Take a job that you love. You will jump out of bed in the morning. I think you are out of your mind if you keep taking jobs that you don't like because you think it will look good on your resume. Isn't that a little like saving up sex for your old age?

Today's equity prices presage only modest returns for investors,

We have tried occasionally to buy toads at bargain prices with results that have been chronicled in past reports. Clearly our kisses fell flat. We have done well with a couple of princes - but they were princes when purchased. At least our kisses didn't turn them into toads. And, finally, we have occasionally been quite successful in purchasing fractional interests in easily-identifiable princes at toad-like prices.

What you really want a course on investing is, how to value a business. That’s what the game is about.

With few exceptions when a manager with a reputation for brilliance tackles a business with a reputation for poor economics, it is the reputation of the business which remains intact.

You need an outstanding manager - you can define that in many ways... but you are looking for the best player out there. We are looking for the best player in this kind of business in the world.

The primary test of managerial economic performance, is the achievement of a high earnings rate, on equity capital employed (without undue leverage, accounting gimmickry, etc.), and not the achievement of consistent gains in earnings per share.

The problem with commodities is that you are betting on what someone else would pay for them in six months. The commodity itself isn’t going to do anything for you… it is an entirely different game to buy a lump of something and hope that somebody else pays you more for that lump two years from now than it is to buy something that you expect to produce income for you over time.

The rich are always going to say that, you know, just give us more money and we'll go out and spend more and then it will all trickle down to the rest of you. But that has not worked the last 10 years, and I hope the American public is catching on.

The rich invest in time, the poor invest in money.

The smarter the journalists are, the better off society is. For to a degree, people read the press to inform themselves-and the better the teacher, the better the student body.

The speed at which a business success is recognized, furthermore, is not that important as long as the company's intrinsic value is increasing at a satisfactory rate. In fact, delayed recognition can be an advantage: It may give us the chance to buy more of a good thing at a bargain price.

The stock market is a no-called-strike game. You don't have to swing at everything — you can wait for your pitch. The problem when you're a money manager is that your fans keep yelling, "Swing, you bum!"

The stock market serves as a relocation center, at which money is moved from the active, to the patient.

Author Picture
First Name
Warren
Last Name
Buffett, fully Warren Edward Buffett, aka Oracle of Omaha
Birth Date
1930
Bio

American Businessman, Investor and Philanthropist, Chairman and CEO of Berkshire Hathaway