Munger said that the reason why Berkshire significantly reduced its holdings in BYD was that it was no longer cheap

Munger shared his views on electric vehicles. Munger praised BYD as his favorite stock so far. He said frankly that during his years at Berkshire, he had never done anything better than investing in BYD.

For Berkshire, BYD is a lucrative bet. The company bought about 220 million shares of BYD for the first time in September 2008. In the past decade, with the rapid development of the electric vehicle industry, BYD's share price has increased by more than 600%.

Since the disclosure of the first reduction in August last year, Buffett's Berkshire has repeatedly reduced its holdings in BYD's Hong Kong shares, and has cashed out more than 15 billion Hong Kong dollars. Two times this year, 1.55 million shares were sold on January 27 and 4.24 million shares were sold on February 3, respectively, with a cash out of HK $350 million and HK $1.09 billion. Berkshire's shareholding in BYD decreased from 20.49% before the initial disclosure to 11.87%.