21/09/2025
On today's episode of The Intrinsic Value Podcast, Daniel Mahncke and Shawn O’Malley dive into Berkshire Hathaway, the billion-dollar conglomerate built by Warren Buffett and Charlie Munger that’s grown from a struggling textile mill into one of the most valuable companies in the world.
With core pillars in insurance, railroads, and energy, plus a $250 billion equity portfolio anchored by Apple, Berkshire is often seen as the ultimate compounding machine. Its decentralized structure, conservative balance sheet, and reputation for permanence make it unlike any other business in corporate America.
But there are some questions we need to answer. How will Berkshire evolve under Greg Abel once Buffett steps down? Can the company continue to find places to reinvest its massive cash reserves? And does the next generation have the same ability to strike unique deals that Buffett’s reputation unlocked for decades?
In this episode, Shawn and Daniel unpack Berkshire’s operating model, its capital allocation philosophy, and the role of its “four pillars” in driving earnings power. They explore whether Berkshire is still the gold standard for long-term investors or a giant that’s doomed to move in line with the market.
