Dillard’s department store.
Source: Zereshk | Wikipedia
Shares of Dillard’s jumped 15% during premarket trading on Monday after one of Warren Buffett’s investing lieutenants disclosed a personal stake in the embattled retailer.
According to filings with the Securities and Exchange Commission, Ted Weschler, who is an investment manager at Berkshire Hathaway, bought roughly 1.08 million shares of Dillard’s, or about 5.89% of shares outstanding.
The Friday filing shows that Weschler topped the 5% threshold on Sept. 29. The filing noted that the shares will be held in a trust on behalf of Weschler’s family members.
Shares of Dillard’s are down more than 40% this year amid lackluster sales. In the latest quarter, however, the retailer reported a much smaller-than-expected quarterly loss thanks to inventory and cost control measures. Revenue, however, came up short.
Weschler, along with Buffett’s other protégé Todd Combs, have been responsible in recent years for steering Berkshire into some winning bets in the technology sector. Weschler joined Berkshire Hathaway in early 2012 after spending a total of $5.3 million for two meals with Buffett through Buffett’s annual “Power Lunch” charity auction.
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