Berkshire Hathaway leaders Warren Buffet and Charlie Munger praised Tesla CEO Elon Musk at their annual shareholder meeting last week.
Warren Buffet and Charlie Munger haven’t exactly been the biggest fans of Elon Musk or the Tesla business, and they haven’t been shy from explaining their lack of investment in Musk’s venture. Nonetheless, the two stockmarket legends shared their respect for the up-and-coming auto industry CEO at their annual shareholder’s meeting late last week.
During the Berkshire Hathaway meeting, the two company leaders answered questions from Berkshire shareholders and were quickly prompted regarding their thoughts on Elon Musk. Their subsequent response was initially posted to Twitter by Sawyer Merrit, who also provided a short event transcript.
In reaction to the commendation from Buffet and Munger, Elon Musk was quick to thank the two in a response to the tweet.
Appreciate the kind words from Warren & Charlie
— Elon Musk (@elonmusk) May 6, 2023
Ironically, despite Buffet and Munger not wanting to be rivals to the Tesla CEO, they are currently a leading investor in Chinese automaker BYD, which has been one of their most successful investments in years. While Berkshire Hathaway has recently been backing out of their BYD position, this is certainly not due to a lack of success. Over their holding period, following an initial investment of just ~$200 million, the investment firm has netted billions in share growth, stock splits, and dividend payments.
Looking to the future, it remains unclear if Berkshire Hathaway intends to change its position on Tesla. However, Tesla’s stock volatility is likely to keep the traditionally conservative investing group away, at least for the time being. As Tesla continues to recover its position from the end of last year, other institutional investors will likely try to seize on the share growth, whether the Oracle of Omaha is involved or not.
William is a Tesla shareholder.
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