News•Apr 20, 2026
Superior Investments — Munger Monday #50
Charlie Munger’s investment philosophy emphasizes buying great businesses rather than cheap stocks, a shift that reshaped Berkshire Hathaway’s approach after the 1972 See’s Candies acquisition. Berkshire paid $25 million—about three times the company’s book value—to secure a brand with enduring loyalty and pricing power. Over the ensuing decades See’s required only $32 million of additional capital while delivering more than $1.65 billion in cumulative profit. Munger credits this deal with cementing the “pay up for quality” mindset that guides Berkshire’s later purchases.
