Berkshire Hathaway (NYSE: BRK.A and BRK.B) is the famous multinational conglomerate holding company led by Warren Buffett. Their track record has spoken for itself. From 1965 through the end of 2021, Berkshire shares have generated a compound annual return of 20.1% against 10.5% for the S&P 500.

With BRK.B down 14.6% since the end of March, is the current price offering a unique buying opportunity?

Technicals

The share price hit a high of $362.10 at the end of March. Now, the price sits lower, at $309.30. Although the price has fallen, it only presents a good buying opportunity if the stock looks likely to rise from the current price. So what does the chart say?

The fibonacci retracement is showing $305.80 as a support level for Berkshire. There is also the $300 psychology support level and $295 (top of previous consolidation) areas of support. If the general market stabilises, BRK is likely to see their price rise as buyers step back in. This provides a short term target of $360, roughly 20% upside.

Chart provided by TradingView

Overview

We believe scaling into a position between current levels and $295 could be timely entries for long term potential. As mentioned previously, $360 is a short term target, but Berkshire Hathaway has always been a strong choice for your money long term with those 20% average returns.

Please read our full disclaimers regarding the information published. The above is intended for informative purposes only and should not be taken as investment advice. Trading on leverage can result in losses larger than your initial deposit.

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