Buffett and BYD

Discussion in 'Stocks' started by lostincybrspace, Jun 10, 2011.

  1. Forgive me if this has already been covered in a thread but I could not find it. Many of you surely know that Warren Buffett bought 10% of BYD Co. Ltd., a Chinese maker of rechargeable batteries and battery-operate automobiles several years ago. The stock performed very well for a while but has taken it on the chin the last 6-8 months. Anyway there are two different listings pink sheet lisitings for the company, BYDDF.PK (currently trading at around $3/share) and BYDDY.PK, which is an ADR (trading at around $6/share). BYDDY always trades at about twice the price of BYDDF and the charts for each move together is perfect sync. Does anyone know:
    1. which of the two Buffett owns,
    2. if it matters which one you might buy (as I said they have always moved in lock step, so it would seem if Buffett hit a home run on the one he owns, the owners of the other would do just fine too.
    3. have any clue as to why the stocks have performed so poorly lately (worse than the markets in general).
    Thanks in advance for any ideas.

    Suzy Cybrspace
  2. smili


    After I read about Buffett I added
    to my watchlist, but that's all. I have no idea beyond that. I just put it down for reference as I like to keep track of what Buffett is up to.
  3. ADR is the more direct way of buying the company. It just has a 2x multiplier of the original stock trading in the home country's exchange.
  4. I think this situation is a great example where it is good to be a trade and understand something about investing. I wouldn't hold the stock now, but trade it. Potential for rebound is plenty, although the number will look weak for the next quarters given the high expectaions.