Looks as if one of Warren Buffett’s two younger lieutenants at Berkshire Hathaway (NYSE:BRK-A) (NYSE:BRK-B) just made a la.rge deep-value investment. Ted Wechsler, who joined Berkshire in 2011, recently disclosed that he had personally bought 1.08 million shares of Dillard’s (NYSE:DDS), the beleaguered department store, good for 5.89% of its outstanding shares. We don’t know exactly when Wechsler had been buying, though we do know that he crossed the 5% mark on Sept 29, necessitating a filing. Of note, Wechsler made this purchase personally, and not as part of Berkshire’s equity portfolio.
Dillard’s had seen relatively lackluster business even before COVID-19 hit, which caused an even bigger drop in sales. Moreover, the company was removed from the S&P MidCap 400 Index in June, as its market cap plunged below $1 billion after the stock has fallen a whopping 43% this year.
So what has Wechsler believing Dillard’s is a