Warren Buffett (Berkshire Hathaway) Sells More Moody's Shares

According to the Form4 filing on 9/3/2009, Warren Buffett’s Berkshire Hathaway has again reduced its stake in Moody’s Corp [MCO], the credit ratings research and analysis company.  

Berkshire only sold a total of 794,388 common shares between 9/1/2009 – 9/2/2009:

9/1/2009:  366,761 shares @ $26.8104
9/2/2009:  421,127 shares @ $27.5988
9/2/2009:  6,500 shares @ $26.3246

.

This comes after the 7/21/2009 reduction from 48,000,000 to 40,013,700 shares (which was a much more significant reduction). Berkshire current still holds a total of 39,219,312 shares.  Moody’s has been recently criticized for giving high ratings to mortgage-backed securities that later severely underperformed.

.

SEC Filing:
You can view the official SEC filing which discloses the change to the holding:
http://www.sec.gov/Archives/edgar/data/109694/000118143109042750/xslF345X03/rrd252344.xml

.

The filing does not differentiate between investments Berkshire Hathaway makes and investments its subsidiaries make, or investments Warren Buffett himself makes as the chairman and chief executive of the company.  Buffet usually makes his stock investments for Berkshire Hathaway through his insurance arms (Berkshire Hathaway Life Insurance Co. of Nebraska, Columbia insurance Co, GEICO, National Indemnity Co, Wesco, etc.).

.

As always, when I comment on Buffett’s stock moves I have to mention that it is easy to follow and copy his moves.  However, there is risk and danger from piggybacking the guru blindly.  We would never know for sure why the move was made or what other reasons are behind the idea.

Its better and also reduces risk if you learn how to invest like Warren Buffett.    Read his current and past annual reports from the Berkshire Hathaway website.  They have a huge amount of information in them.  Also read books that he specifically endorses and recommends.  The following is list of them that I have also read and highly recommend:

Recommended Warren Buffett Related Books:

The Intelligent Investor (Benjamin Graham)
Amazon.com Amazon.ca Chapters.ca
[Amazon.com version includes preface by Warren Buffett, and is recommended over the other versions]
[Buffett has recommended Intelligent Investor before to his shareholders and individual investors!]

Securities Analysis: 6th Edition (Benjamin Graham)
Amazon.com Chapters.ca
[Not available at Amazon.ca]
[Buffett has recommended Securities Analysis before to his shareholders and individual investors!]

The Snowball: Warren Buffett & The Business of Life (by Alice Schroeder)
Amazon.com Amazon.ca Chapters.ca

The Warren Buffett Way (Robert G. Hagstrom)
Amazon.com Amazon.ca Chapters.ca

.

Feel free to post questions, comments, or topic suggestions.
Don’t forget to rate the article!

Thanks & Happy Investing!

The Investment Blogger © 2009

Author: The Investment Blogger

I’m a private investor, who developed the “function-centric investing” paradigm. I am an investor who blogs a little here and there, rather than a blogger who invests a little here and there. I'm passionate about investing and sharing investment knowledge!

Share This Post On
468 ad

Submit a Comment

Your email address will not be published. Required fields are marked *