Warren Buffett wants to make a big acquisition — and the Oracle of Omaha’s Berkshire Hathaway conglomerate has nearly $130 billion in cash that he can use in a deal. But what would Buffett deem worthy of buying at a time when stocks remain near record highs?
Soaring valuations have kept Buffett, who prefers to take the long-term view and wait for bargains, on the sidelines since his last major acquisition in 2015. Buffett told the Financial Times last week that Berkshire Hathaway (BRKB) turned down an overture last fall by jewelry retailer Tiffany (TIF) to buy it.
Tiffany may have been too pricey for the Oracle’s taste, but the 89-year-old Buffett has made no secret of his desire to do another major deal, and soon.
Buffett’s affinity for Apple (AAPL) (now the firm’s largest holding) suggests that Berkshire could acquire a tech company, according to Nancy Tengler, chief investment officer of Berkshire Hathaway shareholder Tengler Wealth Management.
After all, Berkshire reportedly made a takeover offer for software and hardware distributor Tech Data (TECD) last year, but lost a bidding war with private equity firm Apollo Global Management (APO).
