Dec
21
Moody’s, one of the rating organizations has downgraded Bershire Hathaway from Aaa to Aa2 embarkation. This grading does not affect anything; it does not need investors to get all worked up. Ratings is the gradation of the credit worthiness of a company, it is an assessment of the company’s financial health. The downgrading by Moody’s follows the cut in ratings by organizations like Standard & Poor’s and Fitch. This down gradation makes not much difference in the working of Bershire Hathaway as bonds of Aa are considered of high quality. The cash, stocks & bonds have not changes in value and its earning power does not affect much.
Tags: earning power, organisation