Warren Buffett once called Berkshire Hathaway’s $37 billion acquisition of Precision Castparts in 2016 pricey, but the legendary investor’s bet might finally be paying off nearly a decade later.
Back in 2016, when the deal was first announced, Buffett said during an interview that it was "a very high multiple for us to pay," but told shareholders that he had great confidence in Precision Castparts CEO Mark Donegan, who continues to hold the top position at the company. In his annual letter to shareholders in 2021, he said Berkshire paid "too much for the company”, which makes "complex metal components and products."
