Read This Before Buying Kraft Heinz Stock
The greatest investors of all time don't always bat a thousand. Like the rest of us, they make mistakes. Even Warren Buffett made a few errors over the course of a multidecade career.
What sets Buffett apart isn't just a long-term track record, but his willingness to admit mistakes. In what may give investors pause about getting involved with this consumer-packaged goods stock, Buffett admits Berkshire Hathaway's (NYSE: BRK.B) (NYSE: BRK.A) involvement with Kraft Heinz (NASDAQ: KHC) has been an error.
Here's a quick history lesson in how the mistake unfolded. In 2013, Berkshire teamed up with 3G Capital, a Brazilian private equity firm, to buy Heinz for $23 billion. That deal was applauded, but the two companies got together two years later to merge Heinz with Kraft in a $40 billion transaction that Buffett admits was too costly. Over the past decade, shares of Kraft Heinz have lost roughly two-thirds of their value.
Source Fool.com
