Prediction: Warren Buffett's Berkshire Hathaway Stock Will Outperform the S&P 500 in 2025

The S&P 500 Index (SNPINDEX: ^GSPC) enjoyed a fantastic year in 2024, gaining roughly 24% (as of Dec. 30). Warren Buffett's Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B) performed similarly, depending on which share class you look at.Over the last two years, the broader market, buoyed by high-flying tech stocks, is up about 53%. Berkshire Hathaway has trailed the market, but still performed very well. I believe this trend will reverse in 2025, and Berkshire Hathaway will outperform the S&P 500. Here's why.Berkshire's -- and the broader market's -- gains have been propelled by similar dynamics, at least if you compare Berkshire's roughly $300 billion equities portfolio to the makeup of the S&P 500. The Magnificent Seven stocks and Broadcom, which some now call the Fateful Eight, consume more than one-third of the broader benchmark index. Magnificent Seven member and consumer tech behemoth Apple made up roughly 30% to 40% of Berkshire's equities portfolio until about mid-way through 2024.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool