Investing legend Warren Buffett, the founder of Berkshire Hathaway, was on CNBC with Becky Quick moments ago. Now, he’s doing an interview with Bloomberg TV’s Betty Liu.
The “Oracle of Omaha” just wrapped up a charity lunch at Smith & Wollensky. He auctioned off the lunch on eBay to benefit the Glide Foundation in San Francisco. To date, he has raised $US15.6 million with his annual lunch auction.
Coke Executive Pay
The conversation on CNBC began with today’s Coke news. Buffett said that he abstained from today’s shareholder vote on Coca-Cola’s executive equity compensation plan.
He said he didn’t want to express “any disapproval” with management, but that he didn’t agree with the plan.
Buffett’s Berkshire Hathaway is the biggest Coke shareholder. Buffett said he hasn’t sold a share of Coke and doesn’t plan to either.
He also added that he has enormous respect for Coke’s CEO Muhtar Kent.
“I love the company and that the right CEO is running it and that it has a bright future.”
The conversation then turned to IBM, another stock owned by Berkshire Hathaway. The company had disappointing earnings in the first quarter.
Buffett said he bought more stock in IBM earlier this year. He added that he hasn’t sold a share. Quick asked him if he would buy more. “Depends on the price,” he replied.
CNBC’s Quick also asked Buffett about the activist investors.
“All CEOs are terrified of activist hedge funds.”
Quick also asked him about hedge fund manager David Einhorn of Greenlight Capital who wrote in a letter yesterday we’re witnessing another tech bubble.
Buffett doesn’t think that the market has a bubble under it.
Annual Meeting Bear
Berkshire Hathaway’s annual meeting in Omaha is the first weekend in May. One of Morningstar’s analysts will be the designated bear at the meeting.