Warren Buffett Not Telling You What Berkshire Hathaway Is Really Doing | The Economic Ninja

Hello, everyone. Economic ninja here. I hope you’re doing well. You know who is doing really well? Warren Buffett. Warren Buffett and Berkshire Hathaway. Berkshire Hathaway just came out with great earnings. Everyone’s excited. But what people do not pay attention to is what Warren Buffett is doing. He is amassing a massive, massive cash hoard. And the reason why is because he understands that this crash is already underway, and he has been slowly liquidating Berkshire Hathaway’s assets for quite some time now.

We’re going to go over a story right now, and I want people to understand this, because Warren Buffett did the exact same thing on a much smaller scale during the great Recession. Please understand this. Actually, it wasn’t during the great Recession. It was the lead up to the great recession. And like I have explained before, crashes are slow, rolling train wrecks. The amount, the speed at which they crash is very slow.

However, the sheer weight and power behind that train as it pushes into a wall, it just keeps on pushing, not really slowing down at all, and it just keeps crushing and crumbling. And the cars are smashing. It’s because of the size and the weight of the machine. And that machine we’re talking about is the economy. Check this story out from investors business daily. It’s entitled, warren Buffett sees no, zero, no, no possibility of eye popping performance.

Berkshire Hathaway cash hoard swells. Before I read this story, and I have not read this story, I never read a story. Before I go online, I want you to understand this. The reason why he says there is no possibility of eye popping performance is because cash doesn’t do very well at all when it’s sitting in a bank. But Warren Buffett knows something that 99% of the world does not know or understand, and that it is more important to have money on the side or dry powder when everything comes crumbling down, to be able to buy assets for pennies on the dollar.

This isn’t a joke. I hope that you are preparing for this, because like I prepared in 2005, 2006, sold almost all my real estate. I was ready, more ready than most people. And even then, I learned a lot of hard, hard lessons. And this one I promised myself after being through two corrections, the. com crash and this one, I swore I would always be ready for the next one.

And I have spent since 2008 this entire time preparing. And I am ready for this. And I am trying to wake the nation up to get ready for this. Check it. This out, it says Warren Buffett saw a few investment opportunities at home or abroad with no chance for eye popping performance as Berkshire Hathaway reported record cash levels Saturday morning. There remain only a handful of companies in this country capable of truly moving the needle at Berkshire, and they have been endlessly picked over by us and the others, Buffett said in his annual letter to shareholders outside the US.

There are essentially no candidates that are meaningful options for capital deployment at Berkshire. All in all, we have no possibility of eyecropping performance. I want you to understand this. Please get this to your mind, that is a political answer we have seen before in the last couple of years. Stocks making record highs, great performance. What he doesn’t want to tell you out loud is that I’m saving all this cash for one of the greatest opportunities since the Great Depression, and I am going to absolutely dominate the market.

That’s what he’s not telling you. Because if he told you that, would you be less inclined to invest with Berkshire? You’d probably be more inclined to pull your cash, hold it off to the side, let Berkshire stock come down, because it will. Because, again, when you’re holding mostly cash and not a huge amount of your capital is invested in assets, what are you going to be doing? You’re not even keeping up with inflation right now.

I know that Berkshire owns a lot of stock, don’t get me wrong, but this is their largest cash hoard ever in the history of the company. People need to get this through their mind, what’s going on behind the scenes. It says Berkshire Hathaway earnings rose 28% on an operating basis, versus a year early earlier to $8. 48 billion, as underwriting and investment income offset some weakness in its railroad energy and utility operations.

Again, the weakness in railroad energy and utility operations is because people are slowing their spending. Operating profit per class A shares swelled 30% to $5,881, topping the fact set consensus of $5,700 total. After tax earnings more than doubled to 37. 6 billion, largely due to paper gains on Berkshire’s vast investment holdings. Buffett favors operating profit over GAAP earnings. The GAAP stands for generally accepted accounting principles. Now let me explain something.

Those are good numbers. If he would have had all Berkshire’s cash in there, all of that cash deployed would have seen an increase. However, Warren Buffett sees it more important to have cash on the side, because he’s getting ready for what I have been showing people for the last four years. And that is the broken clock. Being right only twice a day is always right twice a day.

That’s fools spout that out like they’re something smart. Warren Buffett is going to be right. He’s going to be the broken clock. But he’s not telling you that. He’s not out there shorting the market and wanting to draw any attention to what he’s doing. He’s moving to cash because he’s getting ready to take part in one of the greatest collapses ever. And again, the slow moving train scenario.

You have to remember that a crash doesn’t happen overnight. What happens is the realization once the mainstream media force feeds everyone down their throat, we are now officially in a recession. Oh, no, it’s a depression. Sorry. Everything’s going bad. So the question is, what are you doing to get ready for this? This is not a joke, but it will seem like it’ll be a sad day where the very few people that are prepared for this and are out there going and buying these assets, they’re not with their friends and family enjoying this time.

And it should be a time to celebrate because you saw something ahead of time. You prepared. You dealt with your friends and family going out and blowing their money in crazy ways, but you were meek and you were preparing for it, and then you were taking advantage of it. This is what separates wealthy people from poor people. Preparation. That’s it. Are you going to be prepared? I hope you got something out of this.

I thank you so much for watching. Now I got to find the turn off button because I’m normally used to lives. The economic ninja is out. Bye. .

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