Elon Musk thinks Warren Buffett should buy Tesla stock. Musk tweeted about Buffett, saying, “He should take a position in Tesla. It’s an obvious move.” This came after a tweet suggested that Buffett’s company, Berkshire Hathaway, should sell its $135 billion stake in Apple and buy Tesla instead.
Musk’s suggestion came after Berkshire Hathaway’s annual shareholder meeting, where it was revealed that they trimmed some of their Apple stake by about 10%. But Buffett and Munger, the late vice chairman of Berkshire Hathaway, haven’t spoken favorably about investing in the car industry before.
Buffett and Munger once said that investing in the car industry is very tough. They’ve invested in electric vehicle makers before, like BYD in 2008, but they still believe it’s a challenging business.
Buffett mentioned that the car industry has many competitors worldwide, making it hard to predict who will succeed in the long run. He also mentioned that he’s more confident about where Apple will be in the future compared to car companies.
Munger added that while electric vehicles are growing quickly, they also come with big costs and risks, which he doesn’t like.
This isn’t the first time Musk has suggested that Berkshire Hathaway should invest in Tesla.
