Buffett acknowledges that the chief cause was the poor performance of the investment portfolio he manages. The recent shift in market trends should help Berkshire resume its market- beating ways. Because Buffett wants to discourage traders and short-term shareholders from buying Berkshire, he hasn't split the stock as its price has risen. Obviously, the B shares are much easier for most people to buy, and their disadvantages are minimal. Owners of A shares have a say in how Berkshire's charitable contributions will be directed.
B shares have no such say and have reduced voting rights.
There are several ways to value Berkshire, and they all suggest that the stock deserves a substantially higher share price. The company consists of more than a dozen wholly owned businesses. The most important of them are insurers, including Geico and General Re. In addition, Berkshire holds enormous blocks of stock, almost entirely in nontechnology companies. After its two-year slump, Berkshire stock has just started to rebound from its lowest levels relative to book value since 1983.