Berkshire Hathaway's (BRK.A 0.86%) (BRK.B 0.67%) Class B stock gained roughly 11.1% in March, according to data from S&P Global Market Intelligence. Meanwhile, its Class A shares climbed roughly 9.8% in the month.
Following an 8.8% pullback in February, the S&P 500 index climbed roughly 3.6% in the month, and Berkshire stock benefited from the positive market momentum. The investment conglomerate also appeared to have gotten a boost from its $11.6 billion acquisition of insurance company Alleghany (Y), and its valuation hit an all-time high last month.
Berkshire Hathaway stock soared to a new high in March, but the investment conglomerate's new valuation high hasn't been entirely driven by market momentum. The S&P 500 index is still down roughly 5.2% from its peak, while the Nasdaq Composite index trades down roughly 11.2% from its high.
In addition to its stock portfolio holdings, Berkshire also owns railroad operations, energy companies, and insurance businesses. The combination of relatively strong performance for the company's stock portfolio and its other segments have helped the investment conglomerate's valuation push to new highs despite volatility for the broader market. The market also seems to be quite bullish on company's acquisition of Alleghany.
Berkshire Hathaway has delivered incredible performance under Warren Buffett's leadership. The company's Class A shares have soared more than 2,777,500% from their closing price of $19 per share when Buffett took over the former textile company in 1965, and the stock now trades at $527,760 per share.
For investors seeking diversified market exposure and the benefit of the company's other businesses, Berkshire Hathaway stock continues to look like a worthwhile investment. Buffett, Co-Chairman Charlie Munger, and the rest of the analyst team have proved adept at identifying attractive market opportunities, and the company has a massive cash pile that it can deploy when it sees fit.
Before its announcement of the Alleghany acquisition, Berkshire Hathaway was holding roughly $146.7 billion in cash -- a record amount for the company. Buffett and the Berkshire team have kept an incredible amount of powder dry, and buying the company's stock gives investors a way to benefit from their next buys before the news hits the wire.