Buffett’s Berkshire Boosts Stake in ConocoPhillips on Oil Bet
By Erik Holm, Edward Klump and Linda Shen
Nov. 15 (Bloomberg) — Warren Buffett’s Berkshire Hathaway Inc. became the largest shareholder in oil producer ConocoPhillips and took a stake in manufacturer Eaton Corp. in the third quarter as stock markets tumbled.
Berkshire had more than 83 million shares in Houston-based ConocoPhillips as of Sept. 30, compared with about 17.5 million on March 31, the company said yesterday in a regulatory filing. Buffett also disclosed a reduced holding in Bank of America Corp. and more shares of NRG Energy Inc., the second-biggest power producer in Texas. The Standard & Poor’s 500 Index dropped 8.9 percent in the three months ended Sept. 30.
Oil in previous bear markets, and especially inflationary periods, has performed well. See my previous analysis regarding the oil sector and COP specifically.
ducati998 
November 16, 2008 at 7:13 am
I wonder if he’s too old?
November 16, 2008 at 7:41 am
Mr Toad,
This is Buffett. This guy has seen it all. He has amassed a fortune of circa $50 billion, and the tosser’s at CNBC etc have the gall to criticise?
He’s been investing successfully since the early 1950’s, before these guy’s were even born.
jog on
duc
November 17, 2008 at 1:29 pm
I like COP, and CHK. I think Warren is buying gas here, not oil.
As in the flatus, not the petrol, old kip.
_____
November 17, 2008 at 6:48 pm
JG,
Well I’ll go with Buffett. I had a couple of concerns with COP, namely current ratio’s
However, in an inflationary environment, oil has consistently [historically] done very well.
jog on
duc
November 18, 2008 at 7:54 am
Just to clear something up “Warren” in my previous is Buffet’s first name.
COP has a lot of nat gas in its port.
_______
November 18, 2008 at 8:52 am
JG,
I dare say it does. Oil & Gas kinda exist geologically speaking together.
Gas is a valuable “real asset” so no contradiction there.
jog on
duc
November 18, 2008 at 11:43 am
Someone pointed out that if you look at the calendar – when Buffett went to the Canadian Oil Sands, oil starting dropping – *to the day* (I checked, true).
Here’s a crazy thought, maybe oil was debased so Warren 🙂 could buy into oil for cheap? (I warned it was a crazy thought, but even crazier stuff has happened)
November 18, 2008 at 6:49 pm
Kat,
You have conspiracy theory on the brain currently.
Who knows.
Real assets, are the place to be in an inflationary environment, Buffett knows this, hence his various purchases of real assets.
jog on
duc
November 18, 2008 at 8:11 pm
Duc,
Guilty as charged 🙂 so much doom around (in the media).
The word “crisis” is everywhere so I’m impressionable in this vulnerable brainwashed state.
(I don’t like Buffett and will believe almost anything negative about him.)
November 18, 2008 at 8:27 pm
Kat,
What have you against Buffett?
jog on
duc
November 19, 2008 at 3:31 am
Duc,
don’t like his association with Gates and their mutual “charity” interests.
On a personal note, makes me gag how everyone idolizes him but it’s simple, really, the man is mortal (read: has sinned 🙂 to get where he is). “A guy next door and a shrewd investor” is only half the story.
November 19, 2008 at 5:48 am
Kat,
Buffett probably has as many knockers as fans, the knockers over time, have invariably been proven wrong.
I’m a fan.
jog on
duc
November 19, 2008 at 7:29 am
Duc,
I’m not a knocker, i didn’t say he’s a bad investor, so can’t be proven wrong in that.
As for the other stuff – well, that’s just personal preferences.
November 19, 2008 at 7:33 am
Kat,
No, I realized you objected on “other” issues, not investing issues.
I simply admire extraordinarily intelligent people. Buffett is one of them.
jog on
duc
November 19, 2008 at 7:57 am
Duc,
absolutely, a very smart man.
Do you admire an evil genius as much as you would a kind one?
I think he’s a secret misanthrope, that’s all.
November 19, 2008 at 8:46 am
Kat,
I don’t think he hates them, just probably has very little respect for them.
But what quite honestly is there to respect? The human race are parasites, destroying everything we touch.
Now you see why I admire the man.
jog on
duc
November 19, 2008 at 9:09 am
Sometimes I think that we’re all a bunch of “useless eaters”. I squash that thought, otherwise it makes me depressed.