This article first appeared on GuruFocus.
Warren Buffett is leaning even harder into Japan. His Berkshire Hathaway (BRK.A) (NYSE:BRK.B) just boosted its stake in Mitsui & Co. (MITSY) to at least 10%, making it one of the trading house’s biggest shareholders. Mitsui said Monday that Berkshire could still add more down the road.
Buffett’s fascination with Japan’s five big trading houses Itochu, Marubeni, Mitsubishi, Mitsui and Sumitomo dates back to 2019. These sprawling conglomerates juggle everything from energy and commodities to finance and logistics, and Buffett has called them long-term plays on global growth.
Originally, Berkshire promised to keep each stake under 10%. But as Buffett admitted in his February letter, those limits have been moderately relaxed. He also hinted that ownership in all five could increase somewhat over time, a nod to his growing comfort with the businesses.
For investors, the message is clear: even as U.S. stocks hover near highs, Buffett still sees value overseas and he’s willing to go bigger in Japan to prove it.
AloJapan.com