Berkshire Hathaway Bets Big on Digital News

Berkshire Hathaway has significantly expanded its investment in The New York Times, tripling its holdings to over 15 million shares. This stake, now worth more than $1.1 billion, represents approximately 9.4% of the company and was acquired during Greg Abel's initial three months as Berkshire's CEO. Warren Buffett, who first invested in the New York Times in Q4 2025, has seen his initial stake grow considerably.

The New York Times has transformed into a digital subscription business, boasting over 13 million paid subscribers by May 19, 2026, nearing its 2027 target. The company engages a vast audience with its websites and apps, leveraging content beyond news, including games, cooking, and sports journalism through The Athletic.

This strategic shift towards recurring revenue from digital subscriptions aligns with Buffett's investment philosophy. The company's market cap stands at $12.2 billion, and its stock has delivered substantial returns. Analysts are optimistic, forecasting revenue growth to $2.5 billion by 2028 and increased earnings per share, with an average price target suggesting an upside potential of 13%.

The renewed interest from Berkshire Hathaway indicates that quality media businesses, thriving on subscription models rather than advertising, can be viable long-term investments. This exemplifies how established industries can reinvent themselves, with the method of monetization proving more critical than the industry's traditional label.