By joining, you agree to be recorded for the benefit of subscribers who could not make it.

Read more

SAVE THE DATE!

Join me Friday, May 8 at 1pm Eastern to talk about all things Berkshire and anything else on your mind. Link for paid subscribers below.

Annual Meeting Debrief

My 13th trip to Omaha for the Berkshire AGM is in the books. What a weekend!

The day before the meeting was filled to the brim: I participated on the Gabelli Value Investing Conference BRK panel, then headed over to ’s VALUExBRK to listen to some amazing speakers and give a short talk myself.

I received a handful of comments afterward about how I don’t seem like the introvert Guy described. My introverted-extroversion comes out when I get the chance to talk about something I love (Berkshire) in a welcoming environment among friends. Guy literally and figuratively set the stage for me to come out of my shell, and I can’t thank him enough!

I also had the good fortune to meet Greg for the second time, and I ran into former AMEX CEO, Ken Chenault. And having my book for sale at the meeting with a giant mockup right next to Poor Charlie’s was an incredible feeling.

BRK Annual Meeting Notes

On a high level, Greg met my high expectations. And the lower attendance made it easier to get around Omaha and the exhibition hall. I’d estimate that attendance was down by a third. It may be much smaller than peak Warren/Charlie, but still the largest and best-attended AGM in the world by far.

I thought Greg was confident and put on a great show. It incorporated Warren, showed deference to him and Charlie, and included new touches from Greg, plus a healthy dose of humor. Pound for pound this was the most substance of almost any Berkshire AGM I’ve attended.

• Berkshire will be a builder of tech, not just a buyer. Building tech in GEICO > BNSF > BHE.

• Using AI with a clear outcome not just for its own sake.

• “All around operational excellence” - Greg

• Data centers will bear the full cost of buildout (to applause)

• 15% of all gas is touched by Berkshire

• Precision Castparts has a ten-year backlog (you read that right)

• Clayton has a home that, with $40K of land, will cost $249K. It has a $35K traditional “box” mobile home not including land/park fees. Pretty incredible when you think of it.

• Just $235 million of buybacks in Q1

• Ajit said Tokio Marine did first class business in a first class way. Berkshire’s arrangement includes the purchase of 2.49% of its common stock, a whole account quota share agreement, and a handshake deal to participate in M&A together in the future.

• The ABC’s of business decay: Arrogance, Bureaucracy, Complacency

• Discussion about cyber risk and deep fake risk (“Warren from Omaha” who asked the first question was entirely AI generated)

• Greg on the stock portfolio: It’s a lower lift (my words) because of the size of the main positions. Ted is managing around $20 billion.

• Ajit and Greg had some great exchanges, and even some Warren/Charlie vibes going on. Ajit I’ts difficult to recruit people to say “no”. He tells new hires they should say no unless it hits you over the head with a 2x4.

• Ajit’s insurance lessons: 1. Small and decisive teams; 2. Fixed compensation to avoid misincentives; 3. Insulate people from the ups and downs of the market

• Katie Farmer (BNSF) and Adam Johnson (NetJets + 31 other consumer/service/retailing) did a great job on stage. They were informative and confident. I also thought Greg and Katie had a good chemistry.

• Greg said Berkshire would divest if there were labor issues, reputational risks to BRK, or if the business became unsustainable. Berkshire would “absolutely not” be broken up.

• Greg called Berkshire an efficient conglomerate. I loved his story about telling Adam Johnson he had to manage 31 additional businesses with no help from Omaha. Classic Berkshire.

• At the same time, Greg noted that they had frameworks to share best practices across subsidiaries.

• Greg was also very clear that he was in charge, noting that there was one leader at Berkshire, but they operated as a team.

Valuation Update

I’ll touch on valuation below, including a few important updates from the latest 10Q.

Subscribers have access to the valuation model on Google Sheets, which includes a per-share valuation and earnings calculator.

Read more

I work with a small number of motivated investors to improve their ability to research businesses, build models, and make better investment decisions.

We work on businesses that they actually want to understand, helping them develop a practical, repeatable value investing process.

Who Is This For:

• Serious individual investors

• Aspiring investment analysts

• Early-career professionals with a basic understanding of accounting and financial statements

What You’ll Get:

• A 10-week program

• Weekly one-on-one meetings and support between meetings

• Hands-on help with idea generation, company research, modeling, watchlist construction, and portfolio decision-making

• Weekly assignments designed to strengthen your research process and judgment

• A behind-the-scenes look at how I research, evaluate, and track businesses

Why It’s Different:

• Built around your own watchlist and interests, not a canned curriculum

• Individualized support through one-on-one coaching (no groups)

• Direct feedback on your thinking, models, and process

The goal is simple: to help you become a more capable, independent investor.

What others have to say…

“Adam is thoughtful, practical, and consistently focused on exceeding expectations. His depth of knowledge and experience translates into exceptional coaching with clear, real-world insights. I would strongly recommend working with him.”

"Adam's coaching class is a great value for the price proposition. Adam tailored the program to my level of knowledge and worked very hard to ensure I learned and was comfortable with all the concepts needed to improve my knowledge in intelligent value investing. Whether you are just starting out or have been investing for a while this course will be very valuable to you and pay off tremendously in the long term if you use the concepts he teaches."

“Adam integrated deep financial analysis into my investing toolbox. His blend of theory, practice, and proper cadence pushed me to learn by doing. I didn't just study the craft; I acquired it.”

Apply Now

I will review all applications and follow up with an email on the next steps.

Buy The Book Here

Come Say Hello

I’ll be at a few great events this weekend, in addition to signing copies of my book at the CHI Center and downtown at the Bookworm Omaha store (it’s a wonderful place!).

Friday

Gabelli Value Investor Conference

VALUExBRK (livestream if you’re not able to make it)

Sunday

The Intellectual Investor Breakfast

Join me at ’s breakfast. I’ll be there along with other authors, signing books and learning from Vitaliy’s investing and philosophical wisdom!

Praise for the 2nd Edition

“If you want to understand how Warren Buffett built Berkshire Hathaway into one of the most valuable businesses in the world, you have to read this book. This is your opportunity to stand beside Picasso as he paints each brush stroke. A must read for all Buffett and Berkshire groupies.”

- Bill Ackman, Founder and CEO of Pershing Square

“I and my teammates at the Gabelli Organization have been tracking Warren’s success for some 50 years. Adam’s book captures the work and highlights the history of Berkshire and the hard and diligent work of Buffett and Munger, Jain and Abel, and Combs and Weschler.”

- Mario Gabelli, Chairman and CEO, Gabelli Funds

“Adam Mead’s discussion of the values and virtues which have shaped Berkshire Hathaway over 50 years is a must read for those investors in search of the forces that have delivered such investment value over time.” – Thomas A. Russo, Gardner Russo & Quinn LLC

“Few activities can be more rewarding for any value investor than studying the history and evolution of Warren Buffett and Berkshire Hathaway. Adam has done us a huge favor with his yeoman efforts in producing this treatise. Since it is chronologically ordered, it is an invaluable reference guide for all things Berkshire.” — Mohnish Pabrai

“Adam continues to deliver a resource very valuable to both Berkshire fans and the investor community as a whole, his depth of knowledge is clearly demonstrated here again. I thoroughly enjoyed this latest addition.” - Dan Calkins, Chairman & CEO, Benjamin Moore

“The question must be asked, ‘Why another Berkshire book?’ When you read this monumental effort by Adam Mead, the answer will be obvious. Read cover to cover, both the uninitiated to Berkshire and its most ardent followers will derive enormous utility and satisfaction from it. I learned so many new and important things about Berkshire and its history. It is my pleasure to encourage you to enjoy this gem.”

- Christopher P. Bloomstran

“Whatever Adam writes is always first-class - guaranteed.

-Andy Kilpatrick, Author, Of Permanent Value: The Story of Warren Buffett

“With this project, Adam has done a wonderful job extending the Berkshire Classroom by providing a comprehensive analysis of the rich corporate history and unique entrepreneurial leadership.” — Mac Sykes, Gabelli Funds

“Adam Mead’s The Complete Financial History of Berkshire Hathaway is the definitive history of Berkshire. While there have been countless books written about Warren Buffett’s investment approach, none have so meticulously documented Berkshire’s capital allocation decisions from the very beginning. The depth of research is staggering, transforming the complex and sometimes chaotic story of how a small textile mill became a financial conglomerate into a clear, year-by-year narrative of every significant investment and acquisition. In this updated edition, Adam carries the narrative through Berkshire’s sixth decade and the methodically planned leadership transition to Greg Abel. For students of business history, this is an indispensable resource.”

-Patrick Gaughen, President and Chief Operating Officer, Hingham Institution for Savings

“The definitive story of Berkshire Hathaway—how Buffett and Munger turned a failing textile mill into one of history’s greatest wealth-creating enterprises, with timeless lessons in business, investing, and leadership.”

-Vitaliy Katsenelson, CEO of IMA, Author of Soul in the Game

“Berkshire Hathaway is a company with few, if any, parallels in business history. Under the leadership of Warren Buffett, it was transformed from a New England textile mill that would ultimately be shuttered to a sprawling conglomerate with a market valuation of more than $1 trillion. With this updated edition of “The Complete Financial History of Berkshire Hathaway”, Adam provides a thorough review of the key decisions that created the modern Berkshire Hathaway, an outcome inextricably tied to the investment and business wisdom of Warren Buffett and his business partner, Charlie Munger. In a few hundred pages, Adam adeptly runs through six decades of Berkshire’s history. For Buffett and Munger fans who want to truly understand how Berkshire was created, this book is a must read.”

- Alex Morris, Founder of TSOH Investment Research and the Author of Buffett & Munger Unscripted

“A meticulous chronicle of Berkshire Hathaway’s remarkable final act under Buffett’s leadership. Mead’s granular analysis of Buffett’s capital allocation decisions—from the $78 billion in share repurchases to the masterful Apple investment—provides unmatched insight into how the world’s most successful conglomerate navigated unprecedented scale and succession challenges.”

-Tobias Carlisle, Portfolio Manager, Acquirers Funds®

“This exceptional history of Berkshire Hathaway will appeal to history buffs, finance enthusiasts, and investing professionals alike. Mead combines rigorous research with remarkably clear storytelling, tracing the company’s ascent from a struggling textile mill to one of the world’s most admired conglomerates. The book is impressively detailed yet fully accessible—equally valuable for students learning the foundations of investing and for seasoned professionals looking to deepen their understanding of Berkshire’s evolution.”

-Gillian Zoe Segal

“With his ability to make complex things seem simple, Warren Buffett made the difficult work of building Berkshire Hathaway look easy. With this excellent history, Adam Mead takes us behind the scenes to see the details of how that work happened and was so successful. For anyone interested in Berkshire Hathaway, or the development of American capitalism, this is essential reading.”

- Bryan Lawrence, Founder, Oakcliff Capital

“There is simply no book that details the economic lore of Berkshire Hathaway better. A true exposé that every intelligent investor should read.”

- Gwen Hofmeyr, Founder, Maiden Financial

“The most comprehensive book on Berkshire Hathaway that has ever been written. It belongs on the shelf of every business enthusiast!”

-Andrew Wagner, Author of the Economics of Online Gaming and Founder & Chief Investment Officer of Wagner Road Capital Management

“Adam’s accounting of the Financial History of Berkshire is like candy for Finance and Business Junkies alike. It’s a must read if you’re interested in studying the greats.”

- Carter Johnson, Managing Partner, Singleton Valuations

“I thought nothing else of value could be written about Warren Buffett. I was wrong. Adam’s detailed chronology of Berkshire’s evolution reveals the successes and failures of Warren in a unique and digestible way. A worthwhile read for every Buffett scholar, amateur and professional alike.” — Drew Estes, Banyan Capital

“Mead has done the Berkshire faithful an incredible service by stitching together the narrative and numbers so tightly, you can see the compounding in action—updated and genuinely useful.”

-Jacob Taylor, CEO of Baserate

“Adam Mead’s work reminds us that true value is found not just in numbers, but in the lasting quality where few care to linger. By doing exceptional due diligence his book clones the lessons of Warren and Charlie.”

-Jeff Gilbert

Adam Mead’s updated “Complete Financial History of Berkshire Hathaway” is a book like no other—chronicling six decades of evolution while reminding us that Berkshire, though Buffett’s masterpiece, remains subject to constant change—an indispensable addition to any serious investor’s bookshelf.

-Bogumil Baranowski, Founder of Blue Infinitas Capital, Author of “Money, Life, Family”, Host of Talking Billions Podcast

Yesterday, the second edition of The Complete Financial History of Berkshire Hathaway was released.

One of the more unusual additions is the story of Berkshire’s acquisition of Pilot Flying J: a staged purchase, pushdown accounting, litigation, a countersuit, and a settlement before trial. Oh, and incredible insight into Berkshire’s purchase framework.

Below are two pages from the new edition.

…

…

Buy The Book Here

Praise for the 2nd Edition

“If you want to understand how Warren Buffett built Berkshire Hathaway into one of the most valuable businesses in the world, you have to read this book. This is your opportunity to stand beside Picasso as he paints each brush stroke. A must read for all Buffett and Berkshire groupies.”

- Bill Ackman, Founder and CEO of Pershing Square

“I and my teammates at the Gabelli Organization have been tracking Warren’s success for some 50 years. Adam’s book captures the work and highlights the history of Berkshire and the hard and diligent work of Buffett and Munger, Jain and Abel, and Combs and Weschler.”

- Mario Gabelli, Chairman and CEO, Gabelli Funds

“Adam Mead’s discussion of the values and virtues which have shaped Berkshire Hathaway over 50 years is a must read for those investors in search of the forces that have delivered such investment value over time.” – Thomas A. Russo, Gardner Russo & Quinn LLC

“Few activities can be more rewarding for any value investor than studying the history and evolution of Warren Buffett and Berkshire Hathaway. Adam has done us a huge favor with his yeoman efforts in producing this treatise. Since it is chronologically ordered, it is an invaluable reference guide for all things Berkshire.” — Mohnish Pabrai

“Adam continues to deliver a resource very valuable to both Berkshire fans and the investor community as a whole, his depth of knowledge is clearly demonstrated here again. I thoroughly enjoyed this latest addition.” - Dan Calkins, Chairman & CEO, Benjamin Moore

“The question must be asked, ‘Why another Berkshire book?’ When you read this monumental effort by Adam Mead, the answer will be obvious. Read cover to cover, both the uninitiated to Berkshire and its most ardent followers will derive enormous utility and satisfaction from it. I learned so many new and important things about Berkshire and its history. It is my pleasure to encourage you to enjoy this gem.”

- Christopher P. Bloomstran

“Whatever Adam writes is always first-class - guaranteed.

-Andy Kilpatrick, Author, Of Permanent Value: The Story of Warren Buffett

“With this project, Adam has done a wonderful job extending the Berkshire Classroom by providing a comprehensive analysis of the rich corporate history and unique entrepreneurial leadership.” — Mac Sykes, Gabelli Funds

“Adam Mead’s The Complete Financial History of Berkshire Hathaway is the definitive history of Berkshire. While there have been countless books written about Warren Buffett’s investment approach, none have so meticulously documented Berkshire’s capital allocation decisions from the very beginning. The depth of research is staggering, transforming the complex and sometimes chaotic story of how a small textile mill became a financial conglomerate into a clear, year-by-year narrative of every significant investment and acquisition. In this updated edition, Adam carries the narrative through Berkshire’s sixth decade and the methodically planned leadership transition to Greg Abel. For students of business history, this is an indispensable resource.”

-Patrick Gaughen, President and Chief Operating Officer, Hingham Institution for Savings

“The definitive story of Berkshire Hathaway—how Buffett and Munger turned a failing textile mill into one of history’s greatest wealth-creating enterprises, with timeless lessons in business, investing, and leadership.”

-Vitaliy Katsenelson, CEO of IMA, Author of Soul in the Game

“Berkshire Hathaway is a company with few, if any, parallels in business history. Under the leadership of Warren Buffett, it was transformed from a New England textile mill that would ultimately be shuttered to a sprawling conglomerate with a market valuation of more than $1 trillion. With this updated edition of “The Complete Financial History of Berkshire Hathaway”, Adam provides a thorough review of the key decisions that created the modern Berkshire Hathaway, an outcome inextricably tied to the investment and business wisdom of Warren Buffett and his business partner, Charlie Munger. In a few hundred pages, Adam adeptly runs through six decades of Berkshire’s history. For Buffett and Munger fans who want to truly understand how Berkshire was created, this book is a must read.”

- Alex Morris, Founder of TSOH Investment Research and the Author of Buffett & Munger Unscripted

“A meticulous chronicle of Berkshire Hathaway’s remarkable final act under Buffett’s leadership. Mead’s granular analysis of Buffett’s capital allocation decisions—from the $78 billion in share repurchases to the masterful Apple investment—provides unmatched insight into how the world’s most successful conglomerate navigated unprecedented scale and succession challenges.”

-Tobias Carlisle, Portfolio Manager, Acquirers Funds®

“This exceptional history of Berkshire Hathaway will appeal to history buffs, finance enthusiasts, and investing professionals alike. Mead combines rigorous research with remarkably clear storytelling, tracing the company’s ascent from a struggling textile mill to one of the world’s most admired conglomerates. The book is impressively detailed yet fully accessible—equally valuable for students learning the foundations of investing and for seasoned professionals looking to deepen their understanding of Berkshire’s evolution.”

-Gillian Zoe Segal

“With his ability to make complex things seem simple, Warren Buffett made the difficult work of building Berkshire Hathaway look easy. With this excellent history, Adam Mead takes us behind the scenes to see the details of how that work happened and was so successful. For anyone interested in Berkshire Hathaway, or the development of American capitalism, this is essential reading.”

- Bryan Lawrence, Founder, Oakcliff Capital

“There is simply no book that details the economic lore of Berkshire Hathaway better. A true exposé that every intelligent investor should read.”

- Gwen Hofmeyr, Founder, Maiden Financial

“The most comprehensive book on Berkshire Hathaway that has ever been written. It belongs on the shelf of every business enthusiast!”

-Andrew Wagner, Author of the Economics of Online Gaming and Founder & Chief Investment Officer of Wagner Road Capital Management

“Adam’s accounting of the Financial History of Berkshire is like candy for Finance and Business Junkies alike. It’s a must read if you’re interested in studying the greats.”

- Carter Johnson, Managing Partner, Singleton Valuations

“I thought nothing else of value could be written about Warren Buffett. I was wrong. Adam’s detailed chronology of Berkshire’s evolution reveals the successes and failures of Warren in a unique and digestible way. A worthwhile read for every Buffett scholar, amateur and professional alike.” — Drew Estes, Banyan Capital

“Mead has done the Berkshire faithful an incredible service by stitching together the narrative and numbers so tightly, you can see the compounding in action—updated and genuinely useful.”

-Jacob Taylor, CEO of Baserate

“Adam Mead’s work reminds us that true value is found not just in numbers, but in the lasting quality where few care to linger. By doing exceptional due diligence his book clones the lessons of Warren and Charlie.”

-Jeff Gilbert

Adam Mead’s updated “Complete Financial History of Berkshire Hathaway” is a book like no other—chronicling six decades of evolution while reminding us that Berkshire, though Buffett’s masterpiece, remains subject to constant change—an indispensable addition to any serious investor’s bookshelf.

-Bogumil Baranowski, Founder of Blue Infinitas Capital, Author of “Money, Life, Family”, Host of Talking Billions Podcast

The Second Edition Is Here

Today is release day for the second edition of The Complete Financial History of Berkshire Hathaway.

The first edition covered Berkshire’s history through 2019. This new edition updates the story through 2025, a period that included the pandemic, inflation, a return to more normal interest rates, the Apple investment becoming even more central to Berkshire’s results, the Japanese trading house investments, Alleghany, Pilot, Berkshire Hathaway Energy, large-scale repurchases, and finally Warren Buffett’s retirement announcement at the 2025 Annual Meeting.

That announcement was the real impetus for this edition. I was in Omaha when Buffett made it, and I immediately felt that the final brushstrokes of his Berkshire masterpiece needed to be put down in writing before the next meeting.

Here are two excerpts from the new material:

Buy The Book Here

Thank you to everyone who read the first edition, gave feedback, shared it, or stopped me in Omaha to talk Berkshire. That feedback helped shape this second edition.

I’m excited to finally have it out in the world.

Praise for the 2nd Edition

“If you want to understand how Warren Buffett built Berkshire Hathaway into one of the most valuable businesses in the world, you have to read this book. This is your opportunity to stand beside Picasso as he paints each brush stroke. A must read for all Buffett and Berkshire groupies.”

- Bill Ackman, Founder and CEO of Pershing Square

“I and my teammates at the Gabelli Organization have been tracking Warren’s success for some 50 years. Adam’s book captures the work and highlights the history of Berkshire and the hard and diligent work of Buffett and Munger, Jain and Abel, and Combs and Weschler.”

- Mario Gabelli, Chairman and CEO, Gabelli Funds

“Adam Mead’s discussion of the values and virtues which have shaped Berkshire Hathaway over 50 years is a must read for those investors in search of the forces that have delivered such investment value over time.” – Thomas A. Russo, Gardner Russo & Quinn LLC

“Few activities can be more rewarding for any value investor than studying the history and evolution of Warren Buffett and Berkshire Hathaway. Adam has done us a huge favor with his yeoman efforts in producing this treatise. Since it is chronologically ordered, it is an invaluable reference guide for all things Berkshire.” — Mohnish Pabrai

“Adam continues to deliver a resource very valuable to both Berkshire fans and the investor community as a whole, his depth of knowledge is clearly demonstrated here again. I thoroughly enjoyed this latest addition.” - Dan Calkins, Chairman & CEO, Benjamin Moore

“The question must be asked, ‘Why another Berkshire book?’ When you read this monumental effort by Adam Mead, the answer will be obvious. Read cover to cover, both the uninitiated to Berkshire and its most ardent followers will derive enormous utility and satisfaction from it. I learned so many new and important things about Berkshire and its history. It is my pleasure to encourage you to enjoy this gem.”

- Christopher P. Bloomstran

“Whatever Adam writes is always first-class - guaranteed.

-Andy Kilpatrick, Author, Of Permanent Value: The Story of Warren Buffett

“With this project, Adam has done a wonderful job extending the Berkshire Classroom by providing a comprehensive analysis of the rich corporate history and unique entrepreneurial leadership.” — Mac Sykes, Gabelli Funds

“Adam Mead’s The Complete Financial History of Berkshire Hathaway is the definitive history of Berkshire. While there have been countless books written about Warren Buffett’s investment approach, none have so meticulously documented Berkshire’s capital allocation decisions from the very beginning. The depth of research is staggering, transforming the complex and sometimes chaotic story of how a small textile mill became a financial conglomerate into a clear, year-by-year narrative of every significant investment and acquisition. In this updated edition, Adam carries the narrative through Berkshire’s sixth decade and the methodically planned leadership transition to Greg Abel. For students of business history, this is an indispensable resource.”

-Patrick Gaughen, President and Chief Operating Officer, Hingham Institution for Savings

“The definitive story of Berkshire Hathaway—how Buffett and Munger turned a failing textile mill into one of history’s greatest wealth-creating enterprises, with timeless lessons in business, investing, and leadership.”

-Vitaliy Katsenelson, CEO of IMA, Author of Soul in the Game

“Berkshire Hathaway is a company with few, if any, parallels in business history. Under the leadership of Warren Buffett, it was transformed from a New England textile mill that would ultimately be shuttered to a sprawling conglomerate with a market valuation of more than $1 trillion. With this updated edition of “The Complete Financial History of Berkshire Hathaway”, Adam provides a thorough review of the key decisions that created the modern Berkshire Hathaway, an outcome inextricably tied to the investment and business wisdom of Warren Buffett and his business partner, Charlie Munger. In a few hundred pages, Adam adeptly runs through six decades of Berkshire’s history. For Buffett and Munger fans who want to truly understand how Berkshire was created, this book is a must read.”

- Alex Morris, Founder of TSOH Investment Research and the Author of Buffett & Munger Unscripted

“A meticulous chronicle of Berkshire Hathaway’s remarkable final act under Buffett’s leadership. Mead’s granular analysis of Buffett’s capital allocation decisions—from the $78 billion in share repurchases to the masterful Apple investment—provides unmatched insight into how the world’s most successful conglomerate navigated unprecedented scale and succession challenges.”

-Tobias Carlisle, Portfolio Manager, Acquirers Funds®

“This exceptional history of Berkshire Hathaway will appeal to history buffs, finance enthusiasts, and investing professionals alike. Mead combines rigorous research with remarkably clear storytelling, tracing the company’s ascent from a struggling textile mill to one of the world’s most admired conglomerates. The book is impressively detailed yet fully accessible—equally valuable for students learning the foundations of investing and for seasoned professionals looking to deepen their understanding of Berkshire’s evolution.”

-Gillian Zoe Segal

“With his ability to make complex things seem simple, Warren Buffett made the difficult work of building Berkshire Hathaway look easy. With this excellent history, Adam Mead takes us behind the scenes to see the details of how that work happened and was so successful. For anyone interested in Berkshire Hathaway, or the development of American capitalism, this is essential reading.”

- Bryan Lawrence, Founder, Oakcliff Capital

“There is simply no book that details the economic lore of Berkshire Hathaway better. A true exposé that every intelligent investor should read.”

- Gwen Hofmeyr, Founder, Maiden Financial

“The most comprehensive book on Berkshire Hathaway that has ever been written. It belongs on the shelf of every business enthusiast!”

-Andrew Wagner, Author of the Economics of Online Gaming and Founder & Chief Investment Officer of Wagner Road Capital Management

“Adam’s accounting of the Financial History of Berkshire is like candy for Finance and Business Junkies alike. It’s a must read if you’re interested in studying the greats.”

- Carter Johnson, Managing Partner, Singleton Valuations

“I thought nothing else of value could be written about Warren Buffett. I was wrong. Adam’s detailed chronology of Berkshire’s evolution reveals the successes and failures of Warren in a unique and digestible way. A worthwhile read for every Buffett scholar, amateur and professional alike.” — Drew Estes, Banyan Capital

“Mead has done the Berkshire faithful an incredible service by stitching together the narrative and numbers so tightly, you can see the compounding in action—updated and genuinely useful.”

-Jacob Taylor, CEO of Baserate

“Adam Mead’s work reminds us that true value is found not just in numbers, but in the lasting quality where few care to linger. By doing exceptional due diligence his book clones the lessons of Warren and Charlie.”

-Jeff Gilbert

Adam Mead’s updated “Complete Financial History of Berkshire Hathaway” is a book like no other—chronicling six decades of evolution while reminding us that Berkshire, though Buffett’s masterpiece, remains subject to constant change—an indispensable addition to any serious investor’s bookshelf.

-Bogumil Baranowski, Founder of Blue Infinitas Capital, Author of “Money, Life, Family”, Host of Talking Billions Podcast

In Case You Missed It: Pool Corp. First Look

In case you missed it just hours ago…not Wednesday… It’s been a busy week here at Watchlist Investing. I thought I’d scheduled my Wednesday post only to find it still sitting in drafts. Oops!

Brooks & Disney Pair Up

A Great Profile of Greg Abel

Some great work by

Bearstone

New Era of Berkshire Hathaway

The Des Moines operator gets the keys…

Read more

16 days ago · 5 likes · 2 comments · Bear

Failure is Systematically Underestimated

Timelapse of the Tech Sector Part Deux

Scenic Route Investing by Wagner Road

TTS Part 2: After the Internet — Technology as a Cyber Space (The Dot-Com Boom)

This is Part 2 in my series, A Timelapse of the Tech Sector. Catch up if you missed Part 1…

Read more

15 days ago · 4 likes · Andrew Wagner

Chris Bloomstran on Excess Returns Podcast

This week in Berkshire History

No historical news this week. However…

I’m happy to report that Berkshire selected my book to be among those sold at next week's annual meeting. Check out the full selection.

That’s it for this week. Hit reply and let me know what you think. What have you been reading that’s worth sharing? Let me know in the comments.

Leave a comment

Stay Rational!

Adam

Pre-Order the 2nd Edition Now!

Disclosure: None

Diving In

I thought it was about time to take a look at Pool Corporation. Berkshire Hathaway first disclosed a stake in the pool products distribution business in Q3 2024, and upped it to a 9.2% stake in August 2025. Shares currently trade at $231 compared to Berkshire’s estimated average cost of $320.

Said differently, Berkshire’s average price implies a market cap of about $12 billion compared to today’s $8.1 billion, a drop of about a third.

What’s In A Name?

Pool Corporation distributes … pool supplies. Well, mostly. Its primary business is that of distributing swimming pool supplies, equipment, and related products, with a smaller (~8% revenues) portion derived from its landscaping and irrigation business.

The company operates 456 sales centers and distributes its products through five networks: SCP Distributors, Superior Pool Products, Horizon Distributors (irrigation/landscaping), National Pool Tile, and Sun Wholesale Supply.

Pool Corp sits between 120,000 wholesale customers (pool service contractors, builders, retailers, etc.) and 3,500 suppliers, although its three largest suppliers accounted for 43% of COGS (20%, 12%, and 11%).

Some stats about Pools’ pool business and the industry:

• Pool Corp Product Breakdown:

  • 64% recurring maintenance and repair of existing installed pools

  • 22% pool remodeling, renovations, and upgrades

  • 14% from new pool construction

• Pool Corp Geographic Breakdown:

  • 95% of sales in the US

  • 57% of 2025 sales in the sunbelt states of California, Florida, Texas, and Arizona

• There are 14 million swimming pools and hot tubs in the US, including 5.5 million in-ground pools

• The pandemic led to a surge in installations, rising from about 60,000 new installs per year to 100,000 at the peak. The pandemic surge increased the installed base by about 5%

  

• Pool Corp is the largest wholesale distributor of pool supplies in the world. It doesn’t disclose market share; however, it is thought to have a market share of between 25% and 35% of between $15 and $20 billion of industry sales.

A Short History of Pool Corp

• 1981: Founded by Frank St. Romain and Richard Smith in New Orleans, Louisiana

• 1993: Partnered with private equity to form SCP Pool Corporation

• 1995: IPO

• 1999: Manuel “Manny” Perez de la Mesa named CEO

• 2005: Entered the irrigation and landscaping business with the acquisition of Automatic Rain Company aka Horizon for $87 million

• 2008: Acquired National Pool Tile for $28.9 million

• 2019: Manny steps down as CEO and is replaced by Peter Arvan who joined the company in 2017

• 2021: Acquisition of Porpoise Pool & Patio for $788.7 million brought Sun Wholesale Supply servicing Pinch A Penny franchise locations, significantly expanding the company’s distribution and retail support capabilities.

Management / Ownership

Peter Arvan: As noted above, Arvan joined Pool Corp in 2017. Previously, he was the CEO of BrightSpring Health Services. He was tapped as CEO in 2019. Arvan was paid a base salary of $900,000 and earned $6.6 million of total compensation in 2025.

Directors earn total fees of about $250,000 per year.

Former CEO, Manuel Perez de la Mesa owns about 3% of the company.

As of the 2026 proxy:

• Berkshire Hathaway owned 8%

• Kayne Anderson Rudnick Investment Management owned a 5% stake

Financial Analysis

One glance at the income statement and it’s clear that Pool has grown tremendously.

Sales grew from $2.25 billion in 2014 to $3.2 billion in 2019 (a 7% CAGR) before nearly doubling to $6.2 billion in 2022.

Thank the pandemic for the surge in at-home spending and the related product shortages that allowed a temporary surge in margins (just look at that bump in the second chart below).

Additionally, Pool acquired Porpoise/Sun Wholesale in December 2021, resulting in a structural increase in its distribution capabilities.

Working Capital

Pool Corp’s working capital structure is a function of its distribution model. The company carries significant inventory (purchased from manufacturers, including early-buy pre-season inventory) financed in part by accounts payable to those manufacturers.

The structural shift toward more working capital as a percentage of sales is a function of a few things:

1. Pre-pandemic increase in SKUs, sales center growth, and early buy program (where Pool buys inventory ahead of time from suppliers at a discount)

2. Product shift toward equipment/building products

3. Pandemic spike

4. Drawdown to a post-pandemic plateau reflecting the above factors (more SKUs and broader geographic footprint), in part from the Porpoise acquisition in late 2021.

Balance Sheet & Capital Allocation

Pool took on debt to fund the Porpoise acquisition in 2021. From a traditional debt to equity/capital/tangible capital, leverage has remained flat. However, debt now stands at a somewhat worrisome 7.5x EBIT.

Over the last 10 years (2016-25), Pool:

• Spent 11% of cash flow from operations on capex, including 3% on growth

• 26% spent 26% on acquisitions, with the largest being Porpoise ($788.7MM) and four tuck-in acquisitions in 2020

• 53% on net share repurchases

• 30% on dividends

• Funded by $866 million (22% OCF) of new debt

I’m wary of management taking on debt to fund big share repurchases when the balance sheet is already moderately encumbered.

Here’s an interesting chart from the 2025 annual report showing the company’s uses of cash since inception.

Return on Capital

Pool generates very strong returns on total and tangible capital, although those returns have come down from their post-pandemic peaks.

In the working capital section, I noted that Pool’s capital investment appeared structurally higher. I wonder if that means capital turnover will cap at about 2.0x. Similarly, margins would appear to be normalizing around 11%. If those two factors hold, then pre-tax return on total capital will stabilize around 20%. At 3.0x for tangible capital turnover, pre-tax return on capital would be 30%.

Valuation

Read more

In Case You Missed It:

Why Most Investors Waste Time on Bad Ideas

The 10-Minute Test Before You Do Deep Work

How Are We Not In An AI Bubble?

Really? A shoe company pivots to AI. Right…

Latest International Monetary Fund Report

Jason Zweig on TIPS Yields

Bloomberg Podcast: BNSF Intermodal Strength

PacifiCorp Case Overturned in Oregon

Brooks Shoes is Running Hot!

Changes Happening at Forest River

BRK 2026 - Events

The Berkshire AGM is approaching fast! This will be my 13th year attending in person in Omaha. You can find me at the Gabelli panel (Friday), at VALUExBRK (Friday), and signing copies of my book at The Bookworm inside the arena. If you see me please say hello!

This week in Berkshire History

April 15, 1977: Blue Chip Stamps acquires The Buffalo Evening News for $35.5 million.

That’s it for this week. Hit reply and let me know what you think. What have you been reading that’s worth sharing? Let me know in the comments.

Leave a comment

Stay Rational!

Adam

Pre-Order the 2nd Edition Now!

Note: This is the second in a series of “how-to” posts exploring the investment process.

Why Most Investors Waste Time on Bad Ideas

My Experience Finding Medifast

Last week, I wrote about the problem of filtering. Here, I want to show how that process worked in practice using Medifast, a company I eventually added to my portfolio.

Your search process will give you a list of stocks to assess. It might be a handful of names or hundreds.

I’ll tackle the problem of generating ideas in a future post.

410 Stocks to Assess

My initial list of companies came from the 2024 Russell Reconstitution lists. There were 212 additions and 198 deletions from the index for a total of 410 companies to sort through.

Even taking one minute per company would require almost a full day’s worth of work. That’s not unreasonable given the potential, but I needed to winnow it down.

Microsoft’s Stock Function

The first thing I did was put the tickers into Excel. The built-in Stock function pulls description, industry, and market cap, and can include other attributes, too. But those three are enough to make quick judgments.

You can then easily create a sortable table for filtering. This is especially useful if you’re only looking for companies from certain industries.

Iterative Filtering - The First Pass (30 sec to 1 min)

I tend to go through a list like this a few times. The first is to filter out the companies I clearly don’t want to look at, putting the principle of inversion to good use.

For me, that’s usually biotech, startups, mining companies, non-bank financials, etc.

I have a column in the spreadsheet to put a note or simply an “X” to mark that I’ve eliminated it, which allows me to filter those out in subsequent passes.

This step probably eliminated a good 75% of the list, or about 300 companies.

Flash Financials - Going Deeper (3-5 mins)

The next step is to start scratching the surface to understand the opportunity.

You might already have an idea of the company’s financials if you’ve screened along certain metrics (low debt/equity, high ROE, etc.) Either way, you need to quickly size up the company.

Here I’ll turn to CapEdge or ROIC.ai to get a quick financial snapshot.

Major red flags at this point include highly indebted companies, those with little to no revenue history, lots of red ink on the bottom line, etc. When I find a red flag like that, I stop and move on. Time is precious!

Here’s what my five-minute assessment of Medifast turned up:

• $156 million cash + investments compared to a market cap of $270 million

• No debt, only minor operating leases

• Price/book value of 1.3x

• $100mm earnings in 2023 (the last full year then available) and $67mm TTM profits through Q1.

• Sales had grown from $500mm in 2018 to $1.6 billion in 2022, only to decline by a third to $1 billion in 2023.

The quick 5-minute assessment was roughly as follows:

Here’s a company clearly undergoing a significant change in its operating environment, with sales down by a third in one year. Yet, the company remains profitable. Furthermore, it has a very strong balance sheet with loads of liquidity and essentially no debt.

At this point, I had lots of questions, but I was intrigued. I knew basically nothing about the weight loss industry aside from general reading that GLP-1 medications were highly disruptive.

Below is a snapshot of the actual spreadsheet, including my note, from 2024. The description is auto-populated with the stock function. The two columns on the right are my “discard” and “keep going” columns to sort my findings.

Scanning the 10K (5 mins)

I was down to about a dozen companies after going through a similar process with the remaining 100 or so companies on my list. Now it was time to peek under the hood at the latest 10K or annual report.

I pulled up Medifast’s 2023 annual report and started scrolling through:

• Just a few pages of marketing fluff at the beginning

• A letter to shareholders was present. I took a few minutes to read through the letter, noting the substance-to-marketing ratio. Some letters are clearly written by the marketing department, a disservice to investors.

• A scan through the business section of the 10K (Item 1. Business in every 10K) led me to believe I understood the basic business model of the company.

The Decision Point

By now, I had completed an initial assessment of Medifast, investing about 10 minutes of my time.

• Since it wasn’t something in my “don’t want” list, it passed the first filter.

• Then, a quick assessment of the financials didn’t turn up any red flags. Seeing the large amounts of cash and no debt made me even more interested in digging in.

• Finally, a quick scan of the annual report found a letter to shareholders and a business description that led me to believe I could understand the business if I dug in further.

Weighing the other opportunities I’d found against this initial assessment, I decided that it made sense to move into the research phase and conduct a proper deep dive. Given that Medifast had loads of excess cash and appeared to be trading a single-digit multiple of earnings, I fast-tracked my research and ended up buying shares (wrong timing in retrospect, but the jury is still out).

Applying The Four Filters

I didn't apply the four filters in order, but I applied all of them.

Filter #1: Can I understand it?

I answered this question multiple times throughout my assessment. In the initial description of the company, and as I read through the letter to shareholders and the business description in the 10K.

Filter #2: Is it a good business?

I didn’t have enough information to know at this point, but I had clues. First off, the presence of lots of cash means it had been profitable in the past. Second, it was very profitable in the few years leading up to my finding the company. Third, it appeared that the company had a highly variable cost structure that could protect it from sales declines.

Filter #3: Is anything obviously wrong?

I had to weigh the clear impact of GLP1s with the opportunity to buy a company at a distressed price. But I didn’t find any major red flags in my initial assessment that would lead me to abandon my research efforts.

Filter #4: Timing / Is There a Reason to Care Now?

The market was clearly pricing Medifast at distressed prices. This was a company I wanted to research deeper immediately to be in a position to take advantage of Mr. Market.

This example shows what a good filtering process looks like in practice.

What does your first-pass filtering process look like? Let me know in the comments.

More thoughts? Let me know in a private message or leave a comment.

Leave a comment

Stay Rational!

Adam

Pre-Order the 2nd Edition Now!

Amazon, Barnes & Noble, or directly from Harriman House, and at other major bookstores, for delivery in April 2026.

Note: This is the first in a series of “how-to” posts exploring the investment process.

The Filtering Problem

Most investors don’t have an analysis problem. They have a filtering problem.

Ideas come in at a rapid pace:

• Posts on social media or investment sites

• Newspapers/business press

• 10K’s and other filings

• Screens or published lists of stocks meeting certain criteria

• General scuttlebutt

Some of these ideas come from smart investors who have already done hours of work. That only makes the problem harder. The volume creates a constant sense that there is always one more thing to read, one more company to study, one more idea you might be missing.

The problem is spending too much time digging into businesses that were never worth studying in the first place.

Building a model or thesis feels like “doing the work,” but it’s expensive if it means giving up time evaluating other ideas or going deep on the one that could move the needle in your portfolio.

A Filtering System

The best investors eliminate ideas fast. Not after three hours, not after a full model. Within minutes.

Warren Buffett has talked about his filtering system over the years, at different times and in different ways. Summarizing his most basic framework, he is looking for businesses that:

1. Earn good returns on capital

2. Are run by able and honest managers

3. Are available at a sensible price

That sums up what I want, too, but getting there requires some work.

In the search for good businesses, I need to filter fast to preserve time for the rare ideas that deserve my time and energy.

Too much analysis, too quickly, leads to missed opportunities because I can’t spend 40+ hours on every idea.

My Filtering System

What we need is a funnel:

• Lots of ideas at the top

• A multi-layered, rigorous filtering system

• A few ideas worth owning now or following up on later

The mistake many people make is treating every idea as if it belongs at the bottom.

But every idea should earn more of your time.

The Zeroth Filter: Am I Interested?

Before circle of competence, I start with a simpler question: am I interested in the industry at all?

For example, I’ve never been particularly interested in the oil and gas industry. I think I can understand it, but it’s just not something that’s really captured my interest.

Likewise, I stay away from tobacco companies because I don’t want to be an owner of a company that produces products I think are harmful to people.

Your list might include similar exclusions based on interest, morality, religion, etc.

Exceptions: It’s worth studying different industries to expand your knowledge of businesses and perhaps widen your circle of competence.

Filter #1: Do I Understand The Business?

I usually start by skimming through a 10K or two and reading the shareholder letter. If I can’t understand the business quickly, I move on. I ask questions like:

• Can I understand and describe in a few sentences how this business makes money?

• Do I understand the important industry dynamics and trends?

We don’t need extra precision here. We might not even need a spreadsheet. The idea is to determine if the business is understandable and if we understand the basic characteristics of the business and its industry.

Filter #2: Is it a Good Business?

Once I understand the business, I want to know whether it’s any good. I ask questions like:

• What is the earnings power of this business currently, and how cyclical is it?

• Does it earn strong returns on capital?

• Does it appear to have a durable competitive advantage (a moat)?

• Are sales, margins, and returns moving in the right direction?

Filter #3: Red Flags

This step happens alongside the earlier filters. Encountering any major red flags along the way is grounds for an immediate stop.

• Management dishonesty (hard to suss out immediately) or an inconsistent story

• Management and/or director turnover

• Unnecessary accounting complexity or restatements

• Financial engineering or capital structure mismanagement

  • Overleveraging

  • Continual equity issuance

  • Off balance sheet vehicles

Filter #4: Timing

Is there a reason to care right now? Is there an obvious mispricing, a temporary industry or business-specific issue, or some complexity that’s worth spending time on?

If the business looks cheap, it might be worth spending a lot of time digging in immediately.

Or perhaps it looks like a great business, but it’s priced to perfection. Then you can determine whether to move on or add it to a watchlist.

Other Approaches

My own bias is toward good businesses, so that shapes how I filter. Other investors may start with different criteria, such as asset value, special situations, or a specific industry. The principle is the same: most ideas should be eliminated quickly.

Your Goal is Efficiency

Most investment ideas can be put into the TOO HARD pile within seconds, many within 10-15 minutes.

The goal is not to judge every business perfectly. It is to allocate attention well and be efficient with your time.

An intentional, well-thought-out filtering process will allow you to look at more ideas and only go deeper when it matters.

The core four filters do a lot of heavy lifting:

• Filter #1 = Can I understand it?

• Filter #2 = Is it a good business?

• Filter #3 = Is anything obviously wrong?

• Filter #4 = Is there a reason to care now?

Most ideas should be discarded. Some should go on a watchlist. Very few should earn deep work.

The edge is not superior analysis on every idea. It is rejecting bad uses of time early and focusing only on the few businesses that deserve serious work.

More thoughts? Let me know in a private message or leave a comment.

Leave a comment

Stay Rational!

Adam

Pre-Order the 2nd Edition Now!

Amazon, Barnes & Noble, or directly from Harriman House, and at other major bookstores, for delivery in April 2026.

In Case You Missed It: Heineken Analysis & Valuation

FreightWaves → BNSF Announces $3.6 Billion Capital Investment Plan for 2026

HousingWire → Clayton’s TRU Mini homes aim for infill sites and entry-level buyers

GEICO Falls Further Behind State Farm and Progressive

Progressive is this close to unseating State Farm.

JP Morgan 2nd Quarter Guide to the Markets

Japan Cat Pricing Down 20%

Warren Buffett is Still Hard at Work (CNBC)

This week in Berkshire History

March 30, 2007: Berkshire acquires TTI, Inc., a distributor of electronic components.

April 1, 2007: Fruit of the Loom closes on its acquisition of VF Corp.

That’s it for this week. Hit reply and let me know what you think. What have you been reading that’s worth sharing? Let me know in the comments.

Leave a comment

Stay Rational!

Adam

Pre-Order the 2nd Edition Now!

Prior Heineken Posts

Disclosure: Long Heineken NV

Highlights

Full year 2025:

• Consolidated volume of 234mhl (million hectoliters), -2.8%

  • Heineken volume of 62.7mhl, +2.6%

  • Volume increase in Asia Pacific offset by decreases in Africa and the Middle East, the Americas, and Europe

  • Licensed volume +17.%

• Consolidated net revenue of €28.75 billion, -3.6%

• Operating profit of €3.4 billion and €4.4 billion beia (before exceptional items and amortization of acquisition-related intangibles)

• Net profit of €2.66 billion (beia)

• €1.3 billion dividends and €701 million share repurchases

• Contracted to buy (closed in Jan. ‘26) the remaining 75% of Central America-based Florida Ice and Farm Company SA (FIFCO) for USD $3.2 billion, funding a portion of the acquisition with debt.

What’s Covered Below

1. Operating performance analysis

2. Capital allocation & balance sheet

3. Return on capital analysis

4. Valuation

Read more

In Case You Missed It: Heartland Express Update

Berkshire Goes Deeper Into Japan

Word Bubble Fun

A 100-word word bubble using Greg Abel’s inaugural CEO letter.

Is the Value Premium Dead?

AM Best Upgrades Cap Specialty

Interesting to note the unit is invested 100% in Treasuries

Diverging Fortunes of Novo Nordisk and Eli Lilly

Speaking of GLP1s…

Possible Catalyst for Medifast?

Steamboat Capital disclosed a 5% stake in the company and will get two board seats as part of a “cooperation agreement”. As part of this agreement, Steamboat agreed not to launch a proxy fight until three months after the 2027 annual meeting.

Timelapse of the Tech Sector

Scenic Route Investing by Wagner Road

A Timelapse of the Tech Sector (Part 1 Continued: The Personal Computer Revolution)

Catch up if you missed the beginning of Part 1…

Read more

a month ago · 1 like · Andrew Wagner

This week in Berkshire History

Nothing this week!

That’s it for this week. Hit reply and let me know what you think. What have you been reading that’s worth sharing? Let me know in the comments.

Leave a comment

Stay Rational!

Adam

Pre-Order the 2nd Edition Now!

Prior HTLD Posts

Disclosure: Long HTLD

Highlights

Full year 2025:

• Revenue of $806 million, down 23%

• Operating loss of $57.4 million

  • Loss of $38.4 million, excluding a $19 million non-cash charge related to CFI trade name impairment

• Full-year operating ratio of 107.1; 104.7 as adjusted

  • Sequential improvement in each quarter

• $10.4 million share repurchases

• $41.2 million debt reduction

What’s Covered Below

1. Operating performance analysis

2. Balance sheet analysis

3. Capital allocation

4. Return on capital analysis

5. Valuation

Read more

In Case You Missed It: Boston Beer Update

Scenic Route Investing by Wagner Road

Investing in AI Infrastructure (Part 1: The Big Picture)

The “big five” hyperscalers — Amazon, Alphabet, Microsoft, Meta, and Oracle — are expected to spend more than $600 billion on capital expenditures this year, 36% more than last year (and about 3 times more than what was spent in 2022…

Read more

2 months ago · 5 likes · Andrew Wagner

Bubbles In Space

“When light of a certain wavelength hits the molecule, its structure shifts, changing from water-repelling to water-attracting and altering its shape.”

: Are You Wasting Your Life?

The Culturist

You Are Wasting Your Life

You only have one life, so how will you live it…

Read more

2 months ago · 262 likes · 8 comments · The Culturist and Evan Amato

This week in Berkshire History

March 15, 2020: Berkshire sells BH Media Group (including The Buffalo News and The Omaha World Herald) to Lee Enterprises.

March 18, 2008: Berkshire acquires a 60% stake in Marmon Holdings, Inc.

March 21, 2022: Berkshire agrees to acquire Alleghany Corp. for $11.6 billion

That’s it for this week. Hit reply and let me know what you think. What have you been reading that’s worth sharing? Let me know in the comments.

Leave a comment

Stay Rational!

Adam

Pre-Order the 2nd Edition Now!

Amazon, Barnes & Noble, or directly from Harriman House, and at other major bookstores, for delivery in April 2026.

Prior SAM Posts

Disclosure: Long SAM

Highlights

Full year 2025:

• Depletions -4%; shipments -4.7%

• Annual volume: 7.1 million barrels

• 85% of volume from the beyond beer category

• Net revenue of $1.97 billion, -2.4%

• Gross margin +410bps to 48.5%

• Operating margin +360bps to 7.4%

• $108 million net income

• $270 million operating cash flow; $216 million free cash flow

• $200 million share repurchases reduced share count by 7%

• Pre-tax return on capital increased from 8.4% » 17.9%

• Pre-tax return on tangible capital increased from 10% » 21%

• $186 million net cash (including leases)

What’s Covered Below

1. Operating performance analysis

2. Balance sheet analysis

3. Return on capital analysis

4. Share repurchases

5. Valuation

Read more

In Case You Missed It: Hingam Savings Valuation Update

Private Investment Coaching

I’m offering a limited number of spots to help you gain confidence in your investing process and analysis.

Learn More

Less Is More

The Hingham Savings annual letter referenced a paper in Nature about the virtues of subtraction. I found this Economist article and this video that summarizes the paper.

History & Economics of Prefab Homes

Construction Physics

The Elusive Cost Savings of the Prefabricated Home

It’s long been believed the constantly rising costs of new home construction, and lackluster improvements in construction productivity more generally, are fundamentally a problem of production methods. Most houses in the US are still built on-site, using manual labor and hand tools, a manner of construction that doesn’t seem all that different from cons…

Read more

2 months ago · 85 likes · 27 comments · Brian Potter

Building Marriott at Age 55

This week in Berkshire History

March 9, 1967: Berkshire enters the insurance business with the purchase of National Indemnity and National Fire & Marine Insurance Company.

March 14, 2000: Berkshire acquires a 76% economic interest in MidAmerican Energy Holdings, investing $2 billion.

That’s it for this week. Hit reply and let me know what you think. What have you been reading that’s worth sharing? Let me know in the comments.

Leave a comment

Stay Rational!

Adam

Pre-Order the 2nd Edition Now!

Amazon, Barnes & Noble, or directly from Harriman House, and at other major bookstores, for delivery in April 2026.

Last year, I worked with a small number of motivated investors to improve their ability to research businesses, build models, and make better investment decisions.

We worked on businesses they actually wanted to understand, helping them develop a practical, repeatable value investing process.

Who Is This For:

• Serious individual investors

• Aspiring investment analysts

• Early-career professionals with a basic understanding of accounting and financial statements

What You’ll Get:

• A 10-week program

• Weekly one-on-one meetings and support between meetings

• Hands-on help with idea generation, company research, modeling, watchlist construction, and portfolio decision-making

• Weekly assignments designed to strengthen your research process and judgment

• A behind-the-scenes look at how I research, evaluate, and track businesses

Why It’s Different:

• Built around your own watchlist and interests, not a canned curriculum

• Individualized support through one-on-one coaching (no groups)

• Direct feedback on your thinking, models, and process

The goal is simple: to help you become a more capable, independent investor.

What others have to say…

“Adam is thoughtful, practical, and consistently focused on exceeding expectations. His depth of knowledge and experience translates into exceptional coaching with clear, real-world insights. I would strongly recommend working with him.”

"Adam's coaching class is a great value for the price proposition. Adam tailored the program to my level of knowledge and worked very hard to ensure I learned and was comfortable with all the concepts needed to improve my knowledge in intelligent value investing. Whether you are just starting out or have been investing for a while this course will be very valuable to you and pay off tremendously in the long term if you use the concepts he teaches."

“Adam integrated deep financial analysis into my investing toolbox. His blend of theory, practice, and proper cadence pushed me to learn by doing. I didn't just study the craft; I acquired it.”

Apply Now

I will review all applications and follow up with an email on the next steps.

Prior HIFS Posts

Disclosures: Long HIFS

Highlights

Hingham

• Demonstrated progress. Core ROA: 0.72%; core ROE: 7.06% for FY 2025

• Q4 core metrics at 1.84% and 17.50%, respectively

• NIM to 1.89% for Q4, up 15bps; December NIM 1.96% annualized

• Assets +1.9% and loans +0.7% from the end of 2024

• Deposits + 2.9% including NIB deposits +17.7%

• Continued overhead discipline at 67bps

• NPAs at 0.69%; workout on DC loan continues

• Leverage at 9.46x at the end of 2025 compared to 10.32x at the end of 2024.

• Regulatory approval for $20 million in share repurchases

What’s Below?

1. Operating performance analysis

2. Loan book analysis and geographical breakdown

3. Analysis of deposits

4. Analysis of the newly disclosed investment portfolio positions and historical returns

5. Insider ownership changes and major holders

6. My thoughts on the Wolfpack short report

7. Valuation

Read more