Warren Buffett calls Tim Cook a 'fantastic manager' of Apple

Posted:
in AAPL Investors edited May 2
Warren Buffet has hailed Tim Cook as a "fantastic manager" of Apple, declaring him "one of the best managers in the world," during the annual Berkshire Hathaway shareholders meeting.




Streamed on Saturday, Warren Buffett answered questions from shareholders about Berkshire Hathaway and its investments. In one question asking why the investment firm sold some common stock in Apple despite being considered the company's "fourth jewel," Buffett moved to compliment Apple as a company, and Cook as its leader.

"It's an extraordinary - Apple - it's got a fantastic manager," starts Buffett in a video feed aired by Yahoo Finance. "Tim Cook was underappreciated for a while. He's one of the best managers in the world. And I've seen a lot of managers. And he's got a product that people absolutely love. And there's an installed base of people, and they get satisfaction rates of 99%."

"It's an extraordinary business. But I do want to emphasize that, in his own way - it's a different way - but Tim Cook is - we see a lot of managers of a lot of businesses, and you're looking at two great ones on both ends here," Buffett continued, before comparing Cook to co-founder and previous CEO Steve Jobs as men with different capabilities.

In the comparison, Buffet says Cook "handled that business so well. He couldn't do what Steve Jobs obviously could do in terms of creation. But Steve Jobs couldn't really, I don't think, do what Tim Cook has done in many respects."

Also present at the meeting, Berkshire vice chairman Charlie Munger offered further praise of big tech in general, but warned antitrust pushes against the companies in the U.S. and Europe could hold back their growth. Neither Munger nor Buffett were concerned that any of the tech giants were too big.

"They're a credit to the market, and a credit to their civilization," commented Munger. "They're huge, and that's good for us."

Berkshire joined in by adding "The Googles and the Apples - they are incredible companies in terms of what they earn on capital. They gush out more money."

On the subject of the Berkshire Apple share sale, Buffett said that he sold some stock in 2020, but shareholders still saw their percentage interest rise because Berkshire repurchased shares.

He also admitted that the sale "was probably a mistake," before pointing out Munger let him know "in his usual low-key way" that it was a misstep.

Berkshire Hathaway currently owns 5.3% of Apple, and has invested about $36 billion in the company. Based on the market capitalization as of May 1, that equates to shares worth approximately $117 billion.
«1

Comments

  • Reply 1 of 21
    lkrupplkrupp Posts: 8,991member
    Well, if the ‘Oracle of Omaha’ thinks Tim Cook is a great CEO then it doesn’t matter what the anonymous blowhards here think, does it. But then some other anonymous blowhards think Uncle Warren is a terrible portfolio manager too. Too each their own but it’s hard to argue against both of their successes. Of course there are blowhards who think Elon Musk is a failure too. So there’s that.
    edited May 1 viclauyycdewmemariowincoBeatsbshankjony0
  • Reply 2 of 21
    emoelleremoeller Posts: 521member
    I believe the last sentence should be $117 Billion (not million).   I purchased  shares when they were first issued.  I've bouight and sold them many times, but the trajectory of this company has always been innovation and customer focus - a winning combination for any business.
    baconstang
  • Reply 3 of 21
    viclauyycviclauyyc Posts: 649member
    Interesting word ”Manager”. Seems implied Tim is only a excellent caretaker rather than head of the company.

    I personally think Tim is doing an excellent job. One can only create so many new things that a person can carry. Creation for creation sake is pointless, unless it is useful for the user. 
    elijahgMplsP
  • Reply 4 of 21
    BeatsBeats Posts: 2,065member
    Random forum nobodies:
    ”Get Tim out!!”

    Warren Buffet:
    ”One of the best managers in the world.”
    lkruppbshankradarthekatjony0
  • Reply 5 of 21
    tommikeletommikele Posts: 450member
    viclauyyc said:
    Interesting word ”Manager”. Seems implied Tim is only a excellent caretaker rather than head of the company.


    It doesn't imply anything remotely like that.
    stompylkruppBeatsgregoriusmdanoxmobirdcitpeksbshankdewmeminicoffee
  • Reply 6 of 21
    wood1208wood1208 Posts: 2,503member
    I love Mr Buffett about everything from great investor of our era,regular down to earth person,having billions but modest living,big philanthropic,etc,etc. But, please give Tim Cook respect he deserves with words like Tim Cook the fantastic CEO. How would Mr. Buffett feels if people call him fantastic manager of Berkshire conglomerate.
    edited May 1
  • Reply 7 of 21
    lkrupplkrupp Posts: 8,991member
    viclauyyc said:
    Interesting word ”Manager”. Seems implied Tim is only a excellent caretaker rather than head of the company.

    I personally think Tim is doing an excellent job. One can only create so many new things that a person can carry. Creation for creation sake is pointless, unless it is useful for the user. 
    Like Steve Jobs often said people need to be shown what they want. He said if you asked people in the early 20th century what they wanted for transportation they would have replies ‘a better buggy whip’. It was Henry Ford that showed them what they really needed.
    bshankjony0
  • Reply 8 of 21
    stompystompy Posts: 358member
    wood1208 said:
    I love Mr Buffett about everything from great investor of our era,regular down to earth person,having billions but modest living,big philanthropic,etc,etc. But, please give Tim Cook respect he deserves with words like Tim Cook the fantastic CEO. How would Mr. Buffett feels if people call him fantastic manager of Berkshire conglomerate.
    Buffett like to keep it simple, and has never been one for dressing up a phrase. Also, pretty sure Warren wouldn't care what 'people' call him.
    baconstangbshankradarthekatjony0
  • Reply 9 of 21
    netroxnetrox Posts: 997member
    viclauyyc said:
    Interesting word ”Manager”. Seems implied Tim is only a excellent caretaker rather than head of the company.

    I personally think Tim is doing an excellent job. One can only create so many new things that a person can carry. Creation for creation sake is pointless, unless it is useful for the user. 
    How would you say? He's a CEO. He's managing the entire company. 



    gregoriusmBeatsbshankradarthekatjony0
  • Reply 10 of 21
    lkrupp said:
    viclauyyc said:
    Interesting word ”Manager”. Seems implied Tim is only a excellent caretaker rather than head of the company.

    I personally think Tim is doing an excellent job. One can only create so many new things that a person can carry. Creation for creation sake is pointless, unless it is useful for the user. 
    Like Steve Jobs often said people need to be shown what they want. He said if you asked people in the early 20th century what they wanted for transportation they would have replies ‘a better buggy whip’. It was Henry Ford that showed them what they really needed.
    “If I had asked people what they wanted, they would have said faster horses.”
    That quote allegedly originated with Henry Ford about the automobile. While usually attributed to him having said that there's never been conclusive proof that he actually said it.

    Jobs, though, did say “It’s really hard to design products by focus groups. A lot of times, people don’t know what they want until you show it to them.”

    Beatsbaconstangbshankradarthekatjony0
  • Reply 11 of 21
    My favorite part from this talk was that Warren said selling some Apple shares earlier was "a mistake", and he turned to Charlie, Charlie said "Yes! A mistake" 
    BeatsbaconstangbyronlbshankArszyjony0
  • Reply 12 of 21
    iqatedoiqatedo Posts: 1,701member
    We're in good company then with Warren Buffett. Of course, Steve Jobs was no fool. Well done Mr. Cook!
    byronlbshank
  • Reply 13 of 21
    Jobs knew what he did when backing Cook.
    Arszyjony0
  • Reply 14 of 21
    dewmedewme Posts: 3,523member
    tommikele said:
    viclauyyc said:
    Interesting word ”Manager”. Seems implied Tim is only a excellent caretaker rather than head of the company.


    It doesn't imply anything remotely like that.
    You are exactly correct.

    Keep in mind that Warren Buffet is definitely "plain talking old school" when it comes to talking about business and leadership. His perspective is executive management which includes leadership, setting direction across a very broad scope, fostering a positive organizational culture, coaching, financial health of the organization, etc. He isn't talking about a product manager or a functional manager, or much less, administrators with "manager" in their job title.  
    edited May 2 radarthekatroundaboutnow
  • Reply 15 of 21
    genovellegenovelle Posts: 1,122member
    netrox said:
    viclauyyc said:
    Interesting word ”Manager”. Seems implied Tim is only a excellent caretaker rather than head of the company.

    I personally think Tim is doing an excellent job. One can only create so many new things that a person can carry. Creation for creation sake is pointless, unless it is useful for the user. 
    How would you say? He's a CEO. He's managing the entire company. 



    That is how funds refer to the leadership. Tim Cook is the leader or Apple’s Executive Management Team
  • Reply 16 of 21
    M68000M68000 Posts: 329member
    A CEO is a type of manager,  at the highest level, but a “manager” nevertheless.   I have no issue with Warren’s comments
    radarthekat
  • Reply 17 of 21
    bushman4bushman4 Posts: 833member
    Have to give Tim Cook credit  he stepped into the company following one of the great innovators of all time Steve Jobs
    He has shown his commitment to  achieving innovation and has brought the company to new heights
    NEVER UNDERESTIMATE Tim Cook he’s a Sharp individual
    radarthekatjony0
  • Reply 18 of 21
    flydogflydog Posts: 922member
    viclauyyc said:
    Interesting word ”Manager”. Seems implied Tim is only a excellent caretaker rather than head of the company.

    I personally think Tim is doing an excellent job. One can only create so many new things that a person can carry. Creation for creation sake is pointless, unless it is useful for the user. 
    https://www.merriam-webster.com/dictionary/manager
  • Reply 19 of 21
    MplsPMplsP Posts: 2,930member
    lkrupp said:
    viclauyyc said:
    Interesting word ”Manager”. Seems implied Tim is only a excellent caretaker rather than head of the company.

    I personally think Tim is doing an excellent job. One can only create so many new things that a person can carry. Creation for creation sake is pointless, unless it is useful for the user. 
    Like Steve Jobs often said people need to be shown what they want. He said if you asked people in the early 20th century what they wanted for transportation they would have replies ‘a better buggy whip’. It was Henry Ford that showed them what they really needed.
    “If I had asked people what they wanted, they would have said faster horses.”
    That quote allegedly originated with Henry Ford about the automobile. While usually attributed to him having said that there's never been conclusive proof that he actually said it.

    Jobs, though, did say “It’s really hard to design products by focus groups. A lot of times, people don’t know what they want until you show it to them.”

    That’s what Apple has repeatedly managed to do - create products you didn’t know you needed but can’t live without as soon as you have one. It’s rather annoying if you’re trying to save money!

    as for Buffet, of course he likes Tim Cook - the stock price keeps going up.
  • Reply 20 of 21
    radarthekatradarthekat Posts: 3,330moderator
    MplsP said:
    lkrupp said:
    viclauyyc said:
    Interesting word ”Manager”. Seems implied Tim is only a excellent caretaker rather than head of the company.

    I personally think Tim is doing an excellent job. One can only create so many new things that a person can carry. Creation for creation sake is pointless, unless it is useful for the user. 
    Like Steve Jobs often said people need to be shown what they want. He said if you asked people in the early 20th century what they wanted for transportation they would have replies ‘a better buggy whip’. It was Henry Ford that showed them what they really needed.
    “If I had asked people what they wanted, they would have said faster horses.”
    That quote allegedly originated with Henry Ford about the automobile. While usually attributed to him having said that there's never been conclusive proof that he actually said it.

    Jobs, though, did say “It’s really hard to design products by focus groups. A lot of times, people don’t know what they want until you show it to them.”

    That’s what Apple has repeatedly managed to do - create products you didn’t know you needed but can’t live without as soon as you have one. It’s rather annoying if you’re trying to save money!

    as for Buffet, of course he likes Tim Cook - the stock price keeps going up.
    I’m confident he liked him a while back, which would have been significant in his decision to buy shares back when the stock was not going up so much.  
    edited May 3
Sign In or Register to comment.