Warren Buffett’s Berkshire Hathaway Inc. fell below $100,000 a share for the first time since 2006, dropping for a fourth straight day after posting a 77% profit decline on Nov. 7.
Berkshire slipped US$6,283, or 6.1%, to US$97,050 at 12:40 p.m. in New York Stock Exchange composite trading. The Omaha, Neb.-based firm’s shares are down about 32% this year.
Berkshire has posted four straight profit declines, the worst streak in at least 13 years, on investment losses and falling returns at insurance businesses.
October’s slump in debt and stock markets reduced the value of Berkshire’s holdings and derivative contracts and caused shareholders’ equity to fall by about $9-billion during the month. “There have been larger declines in the rest of the insurance industry, and Berkshire isn’t immune to that,” said Bill Bergman, an analyst for Morningstar Inc. in Chicago. Bloomberg News
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