5 Best Bear Market Stocks to Buy Now

2. Berkshire Hathaway Inc. (NYSE: BRK-A)

Number of Hedge Fund Holders: 111  

Berkshire Hathaway Inc. (NYSE: BRK-A) stock has offered investors returns exceeding 45% over the course of the past year. It is placed second on our list of 12 best bear market stocks to buy now. The company is headquartered in Nebraska and has interests in several businesses, acting as a holding firm for all of them. The holding firm has a market cap of over $637 billion and posted more than $245 billion in revenue last year. The firm is headed by legendary value investor Warren Buffett, 

In earnings results for the first quarter, posted on May 1, Berkshire Hathaway Inc. (NYSE: BRK-A) reported earnings per share of $5.09 and a revenue of more than $64 billion. Most of the investment portfolio of the holding company is concentrated in just four entities. 

At the end of the first quarter of 2021, 111 hedge funds in the database of Insider Monkey held stakes worth $19 billion in Berkshire Hathaway Inc. (NYSE: BRK-A), up from 110 in the preceding quarter worth $20 billion.

In its Q1 2021 investor letter, Vltava Fund, an asset management firm, highlighted a few stocks and Berkshire Hathaway Inc. (NYSE: BRK-A) was one of them. Here is what the fund said:

“Despite the considerable rise in stock markets over the past year, there are still many attractive opportunities. Human nature also is playing a bit into our hands. Investor crowds often chase popular stocks, hot IPOs, or mysterious SPACs and completely leave aside stocks they consider boring and not sexy enough. A typical example of this category is our long-term largest position in Berkshire Hathaway. Since we bought it for the first time, its price has nearly quadrupled and yet it remains just as undervalued today as it was at that time. Considering the current rate at which it is buying back its own shares and the amount of cash that Berkshire Hathaway has, my greatest wish as a shareholder is for the company’s share price to remain as low as possible for as long as possible.”