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Anorak | Not So Clever Warren Buffett Has Lost $750 Million On Tesco Shares

Not So Clever Warren Buffett Has Lost $750 Million On Tesco Shares

by | 25th, September 2014

Ouch, this has got to hurt. Yes, I know that Warren Buffett’s Berkshire Hathaway is a vast company, that a loss like this won’t in fact make all that much difference to the future, but it’s still gotta hurt :

Since last June, his shares in Tesco have lost almost $750 million in value after the shares plunged by as much as 43% this year. It paid $1.7 billion for the stake.

The problem is that Buffett thought that Tesco was a solid and well managed business. So, when it issued a profits warning he thought that would be something of a blip: management would sort things out and the shares would go back up again.

That’s not quite how things worked out: in trying

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Posted: 25th, September 2014 | In: Money Comment | Follow the Comments on our RSS feed: RSS 2.0 | TrackBack | Permalink