Buffett's Trolley Summary and Analysis

During the early 1990's, Buffett continued to expand his investments and profits, purchasing General Dynamics, more Wells Fargo (purchased at 62, rising to 145), Guinness, and Gannett Publishing. He also bought three shoe manufacturers and welcomed "Mrs. B" back by purchasing her store. His previously purchased holdings all continued to rise, except for USAir. Berkshire stock itself soared to $16,325 by the summer of 1993, then to $20,400, at which point Buffett was worth $9.7 billion, surpassed only by Bill Gates. Buffett's average annual growth over thirty years was 26.77%, the Dow Jones, just 9.51%. An investment of $10,000 in Berkshire in 1965 would have grown to $11.3 million by 1994.

The future may provide challenges for Buffett. He has relied heavily on consumer products, television and newspapers. Public movement to high tech and discount retailers may pose problems for his investment strategies. One area Buffett considers is re-insurance, banking on...