Their shares have been hammered, but Warren Buffet continues to be consistent http://www.berkshirehathaway.com/letters/letters.html. I love his rules of building companies and investments:
Take a look again at the 44-year table on page 2. In 75% of those years, the S&P stocks recorded a
gain. I would guess that a roughly similar percentage of years will be positive in the next 44. But neither Charlie Munger, my partner in running Berkshire, nor I can predict the winning and losing years in advance. (In our usual opinionated view, we donâ€™t think anyone else can either.) Weâ€™re certain, for example, that the economy will be in shambles throughout 2009 â€“ and, for that matter, probably well beyond â€“ but that conclusion does not tell us whether the stock market will rise or fall.
In good years and bad, Charlie and I simply focus on four goals:
(1) maintaining Berkshireâ€™s Gibraltar-like financial position, which features huge amounts of
excess liquidity, near-term obligations that are modest, and dozens of sources of earnings
(2) widening the â€œmoatsâ€ around our operating businesses that give them durable competitive
(3) acquiring and developing new and varied streams of earnings;
(4) expanding and nurturing the cadre of outstanding operating managers who, over the years,
have delivered Berkshire exceptional results.