On Friday, Berkshire Hathaway (NYSE:BRK.B), through its affiliate BH International Holdings, sold its stake in One97 Communications, the parent company of fintech firm Paytm. The Warren Buffett-controlled conglomerate sold 15,623,529 shares via a single block trade at the start of trading on India’s National Stock Exchange. This represented a 2.46% stake in One97.
Don't Miss our Black Friday Offers:
- Discover the latest stocks recommended by top Wall Street analysts, all in one place with Analyst Top Stocks
- Make smarter investments with weekly expert stock picks from the Smart Investor Newsletter
It’s worth noting that the shares were sold at $10.52 apiece for a total of $164.7 million, according to a Bloomberg report. Combined with a $36 million sale in 2021, it means Berkshire incurred a loss on its $260 million investment in the fintech startup.
Berkshire acquired a stake in Paytm in 2018, marking Buffett’s first investment in an Indian firm. Paytm’s worth was estimated to be between $10 and $12 billion at the time of the investment.
Is BRK.B Worth Buying?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on BRK.B stock based on one Buy and one Hold assigned in the past three months, as indicated by the graphic below. After a 17% increase in its share price during 2023, the average BRK.B price target of $410.00 per share implies 13.08% upside potential.
