Berkshire Hathaway announced on Saturday that it had boosted its operating profit by 21% last year thanks to the record performance of its insurance businesses.

Warren Buffett's conglomerate posted operating profit of $37.35 billion in 2023, compared with a profit of $30.85 billion a year earlier.

In his traditional annual letter to shareholders, the billionaire pays a long tribute to his colleague Charlie Munger, who died last November at the age of 99, whom he describes as the true "architect" of his company.

He also highlights the "exceptional" performance of the insurance division, which mainly revolves around the Geico car insurance company.

The businessman also pays particular attention to his holdings in Coca-Cola and American Express, two groups which, he points out, plan to increase their dividends in 2024.

In total, gains on investments amounted to $53 billion last year, including $29.5 billion in the fourth quarter alone.

Following this publication, Berkshire Hathaway 'B' shares gained 2% on Monday, posting one of the best performances of the day on the S&P 500 index.

With a valuation of over $910 billion, Berkshire is now the seventh-largest US market capitalization, behind six of the 'Magnificent Seven'.

We continue to believe that Berkshire Hathaway shares are attractive in view of the economic uncertainty and the strength of its fundamentals in the insurance business", emphasize UBS analysts.

According to the research firm, Friday's share price was trading at a discount of around 2% to its intrinsic value.

Since 1964, the group's shares have risen by 4,384.748%, compared with an increase of 'only' 31.223% for the S&P 500 index.

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