Buffett Warns Berkshire Remains 'Very Cautious' On Bank Stocks—Even As PacWest And Other Regionals Rally

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Buffett Warns Berkshire Remains 'Very Cautious' On Bank Stocks—Even As PacWest And Other Regionals Rally
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The legendary investor says banks can be a 'perfectly good investment,' even though he’s unsure where regional bank stocks are headed.

Berkshire Hathaway chairman Warren Buffett threw cold water on regional bank stocks’ recent rebound during the storied conglomerate's annual meeting this weekend, offering a subpar outlook for the beaten-down industry.Copyright 2023 The Associated Press. All rights reserved.

Buffett’s comments did little to dissuade investors from pouring back into the still-alive but badly maimed regional bank stocks; PacWest and First Citizens led a broader recovery for the group. Berkshire Hathaway is “very cautious” about making investments in banks big or small, Buffett added, citing a lack of understanding among the American public and lawmakers alike about the turbulent situation, which saw flocks of panicked consumers cashing out of regional banks after a handful of seemingly isolated collapses.Despite his short-term cautiousness, Buffett on Saturday said “banks can be a perfectly good investment.” Berkshire Hathaway has a nearly $28.

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