Warren Buffett's Berkshire Hathaway has the cash to buy Tesla, Starbucks, or McDonald's after the coronavirus sell-off | Markets Insider

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Warren Buffett's Berkshire Hathaway has the cash to buy Tesla, Starbucks, or McDonald's after the coronavirus sell-off | Markets Insider
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Warren Buffett's Berkshire Hathaway has the cash to buy Tesla, Starbucks, or McDonald's after the coronavirus sell-off

Warren Buffett's Berkshire Hathaway has the cash to buy Tesla, Starbucks, or McDonald's after the coronavirus sell-offWarren Buffett's Berkshire Hathaway can afford almost any of America's public companies following the coronavirus sell-off.

The billionaire investor's conglomerate held $125 billion in cash and short-term investments at the end of December. Berkshire's cash pile exceeds the market capitalizations of more than 450 companies in the S&P 500, more than 80 in the Nasdaq 100, and 11 in the Dow 30.Visit Business Insider's homepage for more storiesWarren Buffett's Berkshire Hathaway can afford to buy almost any of America's public companies after coronavirus fears decimated their market capitalizations in recent weeks.

The famed investor's conglomerate boasted $125 billion in cash, cash equivalents, and short-term investments in US Treasuries at the end of December. Assuming that figure hasn't changed, and looking purely at market caps — ignoring whether a purchase would be feasible, sensible, or even legal — Berkshire could buy one of more than 450 companies in the S&P 500, more than 80 in the Nasdaq 100, and 11 in the Dow 30 without needing a loan, as of the close of trading on March 27.

For example, Berkshire could afford McDonald's or PayPal in the S&P 500. On the Dow, it could snap up Boeing , IBM , or Goldman Sachs without blowing its budget. In the Nasdaq 100, neither Tesla nor Starbucks would break the bank.

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