Berkshire BYD is over. Berkshire Hathaway confirmed it has fully exited BYD, drawing a line under a 17-year investment first undertaken in 2008 at Charlie Munger’s urging, when it bought roughly 225 million shares for about $230 million [1]. A Berkshire Hathaway Energy filing showed the holding’s reported value at zero as of March 31, 2025, effectively ending the position following a step-down from $415 million at end-2024, according to Reuters [2]. BYD shares in Hong Kong slipped about 3.4% on the reports, reflecting the market’s reaction to the long-anticipated exit [3].

The sell-down capped one of the most lucrative bets in Berkshire’s history. The stake appreciated more than twentyfold from the original 2008 purchase, with coverage citing cumulative returns in a roughly 3,890%–4,500% range over 17 years [2][5]. Berkshire began trimming the position in August 2022, falling below 5% ownership by mid-2024, before the Q1 2025 filing indicated no remaining value [3]. Buffett called BYD “extraordinary,” while BYD publicly thanked both Buffett and Munger for 17 years of support [1][2].

Key Takeaways

– Shows Berkshire BYD exit followed a 17-year run, from a 2008 buy of ~225 million shares for $230 million to a Q1 2025 zero balance [1][2]. – Reveals the holding fell to $0 by March 31, 2025, down from $415 million at end‑2024 in Berkshire Hathaway Energy’s reported valuation [2]. – Demonstrates gains more than twentyfold, with coverage citing roughly 3,890%–4,500% cumulative returns across the 17-year investment horizon [2][5]. – Indicates market impact as BYD’s Hong Kong shares fell about 3.4% to as much as 3.6% intraday on the exit confirmation [3][5]. – Suggests a long-planned wind‑down: Berkshire started selling in August 2022 and cut holdings below 5% by mid‑2024 before full exit [3].

Berkshire BYD’s 17-year timeline and returns

The Berkshire BYD journey began in 2008, when Berkshire purchased around 225 million shares for roughly $230 million following Munger’s endorsement, establishing a cornerstone position in a nascent electric-vehicle champion years before the EV boom [1]. Through sustained execution and aggressive scaling, BYD delivered returns that coverage pegs at roughly 3,890% to 4,500% over the full 17-year window, translating to more than a twentyfold increase on Berkshire’s original outlay [2][5].

Those headline figures underscore the investment’s compounding power. While the original stake size and cost are known, Berkshire’s partial disposals since August 2022 mean realized proceeds accrued over multiple transactions, not just a single exit print [1][3]. By mid‑2024 the holding dropped below 5%, signaling that Berkshire’s exit was well in progress even before the Q1 2025 filing showed that the position’s reported value had reached zero [3]. That reporting point—zero as of March 31, 2025—closed the book on one of Berkshire’s most discussed international investments [1].

Why the Berkshire BYD exit happened now

Berkshire did not offer a specific rationale for the timing, but the breadcrumb trail in filings is clear: selling began in August 2022, passed the sub‑5% threshold by mid‑2024, and concluded before the end of Q1 2025 [3]. In parallel, Berkshire Hathaway Energy’s valuation entries shifted from $415 million at end‑2024 to zero by March 31, 2025, reflecting that the remaining shares had been disposed [2]. The progression suggests a measured, multi-quarter wind‑down consistent with Berkshire’s gradual approach to large, long‑held positions [2][3].

Public statements frame the end of the investment as the conclusion of a successful thesis rather than a repudiation of BYD’s prospects. Buffett called BYD “extraordinary,” underscoring respect for long-term operational performance, while BYD thanked both Buffett and Munger for their 17 years of backing [1][2]. That tenor suggests a disciplined harvest of gains after an extended run, in keeping with Berkshire’s practice of pruning outsized winners when portfolio balance, opportunity cost, or valuation considerations warrant it—without necessarily signaling a negative view [1][2].

How filings confirmed the completion of the sale

The pivotal document trail runs through Berkshire Hathaway Energy (BHE). Reuters reported BHE recorded the BYD holdings at zero as of March 31, 2025, versus $415 million at the end of 2024—an unambiguous accounting shift that marks disposal of the remaining shares [2]. CNBC corroborated the complete exit on September 21, 2025, noting that the investment, originally bought for about $230 million in 2008, had been fully unwound [1]. Benzinga, citing the same Q1 filing, also reported the zero balance on March 31, 2025 [4].

The chronology lines up: initial stake in 2008; progressive sales starting August 2022; drop below 5% by mid‑2024; and a zero balance in the March 31, 2025 BHE filing [1][3][4]. For investors tracking Berkshire’s non‑U.S. holdings, the BHE entry serves as the canonical mark for completion, given it captured both the end‑2024 carrying value and the subsequent reduction to zero in Q1 2025 [2].

Market reaction and BYD’s near-term fundamentals

Equity markets registered the news quickly. Investing.com reported a roughly 3.4% decline in BYD’s Hong Kong shares on the exit headlines, while other coverage noted an intraday drop of up to 3.6%, reflecting mild pressure rather than a disorderly sell‑off [3][5]. The modest reaction likely acknowledges that Berkshire’s exit had been telegraphed by two years of disposals, meaning incremental selling pressure was not a surprise to the market [3].

Fundamentally, BYD remains a scale player in EVs and plug‑in hybrids, yet it faces a more competitive domestic landscape and moderated growth targets. Bloomberg-cited coverage noted the automaker revised its 2025 sales target to about 4.6 million vehicles, a still‑ambitious number that nonetheless suggests a more measured growth cadence than prior years [5]. That recalibration provides context for investors looking at BYD’s margin trajectory and capital efficiency, even as headline attention focuses on Berkshire’s exit [5].

The ownership reduction path since 2022

Berkshire’s path from peak ownership to zero was incremental. Sales started in August 2022, a point at which BYD had already scaled dramatically and its shares had appreciated for years, making profit-taking a rational step [3]. By mid‑2024, Berkshire’s holdings dropped below 5%, an important disclosure threshold that indicated the stake had become more peripheral to the broader equity portfolio [3]. The final confirmation arrived via the Q1 2025 BHE filing, where the value transitioned to zero [2].

Over this period, public remarks emphasized respect for BYD’s execution rather than disagreement with its strategy. Buffett’s “extraordinary” descriptor captured the long arc of operational milestones at the company, even as Berkshire reduced exposure [1]. BYD’s acknowledgment of the 17-year partnership further framed the exit as a maturation of an investment cycle—a bookend to a thesis that began when EV adoption and battery technology were far earlier in their commercial trajectory [2].

Returns in context: twentyfold-plus versus ~4,500%

The distribution of reported returns helps anchor expectations. Reuters framed the payoff as more than twentyfold, a formulation that places the result at 20x or higher—a stellar outcome by any definition [2]. Other coverage, citing Bloomberg data, quantified the cumulative return in a range of roughly 3,890%–4,500% over the 17-year period, effectively spanning approximately 39x to 45x on an absolute basis [5]. The wider range likely reflects timing sensitivities, price points across partial sales, and currency or share‑class nuances [2][5].

What’s indisputable is the scale: turning a $230 million outlay into gains measured in the billions across multiple tranches is consistent with the magnitude implied by both the “twentyfold-plus” and “~4,500%” frameworks [1][2][5]. The gradual sell‑down from August 2022 onward means realized proceeds accumulated over time rather than on a single day, aligning with Berkshire’s preference to avoid unnecessary market disruption when exiting large positions [3].

What the Berkshire BYD exit means for investors

For Berkshire watchers, the BYD exit underlines three durable lessons. First, concentration and patience can amplify outcomes when business execution compounds over long intervals; a 17‑year hold is uncommon in public markets but typical for Berkshire [1][2]. Second, disciplined distribution of exits across quarters can preserve value and reduce slippage, especially in deep-yet-volatile markets like Hong Kong [3]. Third, a positive exit does not necessarily signal a bearish operational view; Berkshire left while praising BYD and after BYD publicly expressed gratitude [1][2].

For BYD shareholders, Berkshire’s absence removes an overhang tied to its remaining inventory of shares. A roughly 3.4% to 3.6% decline suggests selling pressure was limited, potentially because the exit was widely anticipated after two years of trimming [3][5]. The company’s updated 2025 sales target of about 4.6 million vehicles provides a concrete yardstick for assessing volume growth, pricing power, and competitive share amid intensifying global EV competition [5].

The Munger imprint and the arc of a thesis

Charlie Munger’s imprint on the Berkshire BYD investment is central. By backing the 2008 purchase of roughly 225 million shares, Munger catalyzed a cross‑border bet predicated on manufacturing discipline, battery leadership, and vertical integration—traits that later defined BYD’s edge [1]. The eventual exit, completed by Q1 2025, casts the investment as a full-cycle success story, punctuated by Buffett’s “extraordinary” label and BYD’s public thanks [1][2].

In that sense, the trade’s bookends—Munger’s early conviction and a methodical exit with extraordinary gains—are as instructive as the numbers. They show how Berkshire adapts its playbook internationally, insists on operational excellence, and manages position sizes as compounders mature and portfolio priorities evolve [1][2][3].

What to watch next for BYD and Berkshire

Investors will track how BYD navigates 2025 targets and whether competitive dynamics in China and abroad affect margins and model mix. The stated goal of about 4.6 million vehicles offers a measurable checkpoint for quarterly progress on capacity utilization, export traction, and pricing [5]. Market participants may also look for any secondary effects on BYD’s investor base now that a marquee long‑term shareholder has wrapped up its stake [3][5].

On the Berkshire side, the conclusion of this 17‑year story frees incremental capital for other priorities, though the company’s massive cash position and diversified cash flows mean the marginal impact is likely small in the context of the whole [2][3]. What is clear is that a prominent non‑U.S. equity bet has reached its natural conclusion, with results that rank among Berkshire’s most celebrated long-duration wins [1][2][5].

Sources:

[1] CNBC – Berkshire totally exits its profitable stake in Chinese EV maker: www.cnbc.com/2025/09/21/buffett-munger-byd-exits-stake.html” target=”_blank” rel=”nofollow noopener noreferrer”>https://www.cnbc.com/2025/09/21/buffett-munger-byd-exits-stake.html

[2] Reuters – Warren Buffett’s Berkshire Hathaway exits China’s BYD, filing shows: www.reuters.com/business/autos-transportation/warren-buffetts-berkshire-hathaway-exits-chinas-byd-filing-shows-2025-09-22/” target=”_blank” rel=”nofollow noopener noreferrer”>https://www.reuters.com/business/autos-transportation/warren-buffetts-berkshire-hathaway-exits-chinas-byd-filing-shows-2025-09-22/ [3] Investing.com – BYD shares fall on report of Buffett entirely exiting stake: www.investing.com/news/stock-market-news/byd-shares-fall-on-report-of-buffett-entirely-exiting-stake-4247834″ target=”_blank” rel=”nofollow noopener noreferrer”>https://www.investing.com/news/stock-market-news/byd-shares-fall-on-report-of-buffett-entirely-exiting-stake-4247834

[4] Benzinga – Warren Buffett’s Berkshire Hathaway Exits BYD Position After 17 Years, Ending Charlie Munger-Backed Bet: www.benzinga.com/markets/tech/25/09/47782201/warren-buffetts-berkshire-hathaway-exits-byd-position-after-17-years-ending-charlie-munger-backed-bet” target=”_blank” rel=”nofollow noopener noreferrer”>https://www.benzinga.com/markets/tech/25/09/47782201/warren-buffetts-berkshire-hathaway-exits-byd-position-after-17-years-ending-charlie-munger-backed-bet [5] Livemint (citing Bloomberg) – 4,500% return! Warren Buffett’s Berkshire exits BYD after 17 years, makes eye-popping gains: www.livemint.com/market/stock-market-news/4500-return-warren-buffetts-berkshire-exits-byd-after-17-years-makes-eye-popping-gains-11758530063528.html” target=”_blank” rel=”nofollow noopener noreferrer”>https://www.livemint.com/market/stock-market-news/4500-return-warren-buffetts-berkshire-exits-byd-after-17-years-makes-eye-popping-gains-11758530063528.html

Image generated by DALL-E 3