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BYD COMPANY LTD ADR (BYDDY), Berkshire Hathaway Inc. (BRK.A) (BRK.B): Buffett’s Electric-Car Maker Is Still on Sale

Management guided down for the rest of 2013, sending shares down by double digits in Monday’s trading. Third-quarter profit is expected to be less than half  a million U.S. dollars, and management believes its ongoing recovery will be delayed by the weak sales season.

Overall, though, this is a long-term buy and look away stock, for those interested. BYD COMPANY LTD ADR (OTCMKTS:BYDDY) has been and will remain exceptionally volatile. Short-term fluctuations will keep things choppy for the foreseeable future. A prospective investor should view this as a long-term hold. Wang Chuan-Fu is dedicated to creating, “a  zero-carbon and zero-emission eco-environmental system” with his automobiles, batteries, and solar panels. The company has improved substantially from its previous troubles, but it still has a long way to go.

BYD COMPANY LTD ADR (OTCMKTS:BYDDY) trades at a far more reasonable valuation when compared to the likes of Tesla, and has a more diversified line of business. While Tesla’s stock price assumes everything will go peachy-keen for Musk and Co., BYD’s valuation is more realistic, reflecting the issues still facing widespread electric vehicle adoption. For a well-priced entry into the world of zero-emission vehicles, BYD remains an appealing, Buffett-endorsed pick.

The article Buffett’s Electric-Car Maker Is Still on Sale originally appeared on Fool.com.

Fool contributor Michael Lewis owns shares of BYD. The Motley Fool recommends Berkshire Hathaway and Tesla Motors. The Motley Fool owns shares of Berkshire Hathaway and Tesla Motors. 

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

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