The world’s most successful investor is seeking acquisitions after his company suffered the biggest annual drop in book value since he took control four decades ago. Sysco, writes Bloomberg reporter Elizabeth Stanton, is among 50 companies that meet his standards.
Buffett, 78, is reportedly seeking to spend $5 billion to $20 billion on an acquisition. He prefers “simple” businesses with pretax profit exceeding $75 million, “consistent earnings power,” “good” returns on equity and little or no debt.
Bloomberg data show that Sysco trades for 12.7 times profit of the past 12 months. Its stock price this morning was $22.88.