Berkshire Hathaway has more than doubled over the past five years.
Not only has its performance been strong, but the gains have been rather linear.
Berkshire even beat the S&P 500, which is rare during excellent market environments.
Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B) has been one of the most successful long-term investments of all time, producing returns in excess of 5,500,000% since Warren Buffett took control in the 1960s.
However, Buffett himself cautioned in his 2014 letter to shareholders -- marking his 50th anniversary of leading Berkshire -- that the returns of the next 50 years wouldn't come close to those of the first 50 under Buffett's leadership. The numbers have simply become too big for the investment to 100X, or even to 10X, from current levels in the not-too-distant future.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »
Image source: The Motley Fool.
With that in mind, now that Berkshire is a member of the trillion-dollar market cap club, how are its returns?
I won't keep you in suspense. A $10,000 investment in Berkshire Hathaway five years ago would be worth about $22,300 today. That's a 123% total return, or a little more than 17% annualized.
It's also important to note that the S&P 500 (SNPINDEX: ^GSPC) produced a total return of 110%, or about 16% annualized, over the same period. And not only did Berkshire beat the market, but it did so with a beta of 0.77, indicating significantly lower volatility than the overall market.
This is exactly what Buffett had hoped would happen when he wrote his 50th anniversary letter -- a performance that marginally beats the market over time, and without too much of a roller-coaster ride.
Before you buy stock in Berkshire Hathaway, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Berkshire Hathaway wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $662,520!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,043,346!*
Now, it’s worth noting Stock Advisor’s total average return is 1,056% — a market-crushing outperformance compared to 188% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
See the 10 stocks »
*Stock Advisor returns as of September 15, 2025
Matt Frankel has positions in Berkshire Hathaway. The Motley Fool has positions in and recommends Berkshire Hathaway. The Motley Fool has a disclosure policy.