Warren Buffett's Berkshire Hathaway outruns Cathie Wood's Ark Innovation

seekingalpha2021-12-15

In what could be called a tortoise (value) vs. hare (growth) matchup, the tortoise appears to be winning this year. In the past month, Berkshire Hathaway (BRK.B +1.8%) (BRK.A +1.5%) increases its lead on the more mercurial Ark Innovation ETF (ARKK -3.0%).

Of course, Berkshire could be getting a leg up from Apple's (AAPL -1.1%) 17% gain in the past month. Apple is Berkshire's biggest equity holding and made up about half of the investment firm's equity portfolio (as of Dec. 10), according to Business Insider.

In the past month (as of Monday's close), Berkshire's B (NYSE:BRK.B) shares rose 1.4%, exceeding the S&P 500's 0.2% decline and Ark Innovation's (NYSEARCA:ARKK) 20% drop as seen in the graph below.

Ark Innovation (ARKK) had a sizeable lead on Berkshire in February when retail investors piled into popular stay-at-home trades like Coinbase (NASDAQ:COIN), Roku (NASDAQ:ROKU), Teladoc (NYSE:TDOC), and Zoom Video Communications (NASDAQ:ZM), all stocks included in the ETF.

Since then, all four tech names have lagged the S&P 500, with only Coinbase managing a gain for the year.

SA contributor Steven Fiorillo calls Berkshire (BRK.B) a "complete value opportunity in a market obsessed with growth."

Last week, BofA Securities said long-duration tech is now trading like the post-dot-com bubble in 2000 and 2001.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • Mtan23
    2021-12-15
    Mtan23
    Nice 
  • Huatahhuat
    2021-12-15
    Huatahhuat
     Value stocks time! 
  • 我i168
    2021-12-15
    我i168
    What do you think of 70% of your money investing in $Berkshire Hathaway(BRK.B)$and 30% investing in $ARK Innovation ETF(ARKK)$? You can try other ratios.You got both Warren and Cathie as your investment managers.
    • 我i168: 
      [Smile][Cool]
    • OSJ: 
      100% in berkshire is fine
    • 我i168: 
      The succession plan has been there for years If not dacades. It’ll be fine after grandpa.
    • 拿的住: 
      ark10%不能再多了
    • Frosty4ever: 
      what's warrens succession planning like? without him how well will they do?
  • FannyNg
    2021-12-15
    FannyNg
    Looking for opportunity to invest into BRK. B in the next dip. 
  • Bryan_lyc
    2021-12-15
    Bryan_lyc
    H
  • DirtyGreen
    2021-12-15
    DirtyGreen
    Wow
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