Warren Buffett’s New Bet: The New York Times
The media landscape has long been a battleground for capital and influence. Yet, in a move that has sent ripples through Wall Street, Warren Buffett’s Berkshire Hathaway announced a sizable stake in the New York Times (NYSE: NYT) on February 17, 2026. The announcement followed a cascade of reports—from Bloomberg, The Globe and Mail, to the Financial Times—that confirmed the billionaire’s pivot away from Amazon and toward a venerable newspaper.
Why Now?
Buffett’s decision comes at a pivotal moment. The New York Times, a 160‑year‑old institution, trades at a close of $72.94—just a fraction below its 52‑week high of $74.04—while its market capitalization sits at roughly $11.8 billion. With a price‑to‑earnings ratio of 35.23, the Times’ valuation is high, but not absurd for a brand that commands global readership and advertising revenue in the digital age. The company’s fundamentals are solid: it remains a mass‑media powerhouse, producing daily newspapers and operating internet sites that distribute news worldwide.
Buffett’s move signals a strategic belief that traditional journalism is not only surviving but thriving amid the digital disruption that has devastated many other media outlets. By betting on NYT, he underscores the enduring value of editorial quality, brand trust, and diversified revenue streams.
Berkshire’s Exit from Amazon
The timing is no coincidence. In the fourth quarter of 2025, Berkshire Hathaway dramatically cut its stake in Amazon by more than 75 %—a move that stunned investors who had watched the e‑commerce giant’s meteoric rise. Bloomberg reports that the divestiture was part of a broader rebalancing of Berkshire’s portfolio, freeing capital for new ventures and reinforcing Buffett’s preference for assets that offer long‑term stability over short‑term volatility.
The New York Times, in contrast, offers a more conservative growth trajectory. Its readership base is robust, and its digital subscription model continues to expand. For Buffett, the Times represents an asset that balances profitability with mission‑driven impact—a classic “value” investment that aligns with his investment philosophy.
Market Reactions
Immediately after the announcement, NYT stock spiked, reflecting the market’s enthusiasm for a Buffett endorsement. Analysts note that while the Times’ P/E ratio is higher than the sector average, the company’s consistent earnings growth and strong brand positioning justify the premium. Moreover, Berkshire’s involvement may spur additional institutional interest, potentially stabilizing the share price in the coming months.
A Message to Competitors
Buffett’s bet is not merely a financial maneuver; it is a stark message to competing media conglomerates. In an era where ad dollars are siphoned by social platforms, the New York Times’ ability to maintain premium journalism and subscription revenue speaks volumes. Berkshire’s endorsement may force rivals to reassess their strategies, potentially leading to a wave of consolidation or strategic alliances within the industry.
Bottom Line
Warren Buffett’s investment in the New York Times is a calculated gamble on quality journalism’s resilience. It signals that, even in a digital‑first world, a well‑established brand with a clear editorial voice can command premium valuation multiples. For the Times, the partnership with Berkshire opens doors to new capital, expertise, and a broader audience—an alliance that could redefine media ownership in the 21st century.
