Berkshire Hathaway rises after $330 million follow-on investment in Bending Spoons

What happened

Berkshire Hathaway (BRK-A) rose 1.2% on October 14, 2026, after it invested an additional $330 million in Milan-based app maker Bending Spoons, lifting its stake to about 4%. The new purchase followed a $600 million buy at Bending Spoons’ July IPO, bringing Berkshire’s total invested amount to $930 million, according to CNBC and Barrons. The stock closed at $789,838.50 as reports of sharp gains in Bending Spoons shares drew investor attention. The session’s move came as the S&P 500 fell 1.1% and the Financial Services sector median fell 0.5%, suggesting company news rather than broad market forces drove the change.

How big was the move

The stock’s rise was 1.4 times a typical daily move for this stock and 1.7 percentage points better than the sector median, pointing to a sizable company-specific reaction. Trading volume ran at 0.7 times its 20-day average, indicating the price change came on below-average activity. Over the last five sessions the stock rose 3.9% while the S&P 500 fell 1.1% over the same period, underscoring the rally’s divergence from the broader market.

The technical picture

The stock traded 3.6% above its 20-day moving average and 3.6% above its 50-day moving average, and the 50-day average sat above the 200-day average, a sign of an established uptrend. It has been above its 200-day average for 59 consecutive trading days and sat 2.0% below its 52-week high. The 14-day Relative Strength Index was 71, a reading often called overbought. The shares rose 2.1% over one month and 7.0% over three months. Volatility was 14% annualized over 60 days, which was lower than 57% of its own readings over five years, and the stock’s beta of 0.37 shows it tended to move less than the market.

Fundamentals and valuation

For the four quarters through June 30, 2026, revenue was $384.69 billion, which grew 3.9% from a year earlier. Diluted earnings per share were $59,656.22, a rise of 36.3% from a year earlier. Gross margin was 23.5% versus 24.2% a year earlier, while operating margin was 16.3% versus 15.6% a year earlier. Free-cash-flow margin stood at 6.3%, return on invested capital was 4.2%, and the balance sheet showed net debt of 1.2 times EBITDA. Share count decreased by 0.1% over one year.

Valuation measured 13.2 times trailing earnings, higher than 58% of its own readings over the past five years where the five-year median was 12.1 times earnings. Price to forward earnings was 23.8 times expected earnings, and free-cash-flow yield was 2.2%. PromtFinance scores ranked Growth at 72 (Positive) and Momentum at 77 (Positive), while Quality was 35 (Weak), Stability 78 (Positive), Value 45 (Neutral) and Revisions 47 (Neutral).

Earnings and analyst expectations

Berkshire last reported on August 8, 2026, when earnings per share were $9,030.34 against $7,553.16 expected, or 19.6% above estimates. That was the company’s second consecutive quarter beating consensus. The average surprise over the last four reports was 4.6% above estimates. The typical two-day market reaction after recent reports was a fall of 0.2%. Ten analysts had ratings on the stock, with 40% assigning Buy and the consensus rating at Hold. The next report was scheduled for November 7, 2026.

What to watch

• November 7, 2026: next scheduled earnings report
• The market’s reaction to any further disclosures about the Bending Spoons stake, which brought total investment to $930 million
• Short-term price action given an RSI of 71 and 59 consecutive trading days above the 200-day average
• Changes in analyst estimates following the company’s additional investment and recent earnings surprises
• Movement in the Financial Services sector and the S&P 500, which fell 1.1% on the session and over five sessions