Berkshire Hathaway, the conglomerate led by Warren Buffett, employs a dual-share structure, offering Class A and Class B shares. This strategy allows the company to cater to different investor profiles while maintaining a strong financial foundation.
The basic distinction between these share classes lies in their voting rights and price points. While both represent ownership in Berkshire Hathaway, they offer varying degrees of influence and accessibility to investors.
Class A shares grant their holders full voting power, with each share equating to one vote. In contrast, Class B shares carry significantly diluted voting rights, with each Class B share representing one ten-thousandth (1/10,000) of a single vote.
As of the second week of July 2025, Class A shares were trading at prices exceeding $700,000 per share.Class B shares,priced at approximately 1/1500th the value of Class A shares,offer a more accessible entry point for individual investors seeking long-term capital gratitude without the high cost of Class A shares.
This tiered share structure is a purposeful move by Berkshire Hathaway to attract a specific type of investor-those focused on long-term growth rather than immediate voting influence. The company prioritizes attracting experienced and informed investors over broadening its voting base.
Sources: Numbers- CNBC- Bloomberg- Forbes- Wall Street Journal- Fortune.
