Buffett's farewell, warning against Tesla, bitcoin forecasts and more. This is what Wall Street is talking about

Stock market observers are predicting another year of double-digit gains for the S&P 500, while cryptocurrency analysts are making a strong case for record bitcoin valuations. However, the focus remains on the historic turnaround at Berkshire Hathaway and Michael Burry's pessimistic forecasts for the most popular electric car maker.

Warren Buffett: Berkshire has a better chance of surviving the next century than any other company

This week, Buffett ended his more than 60-year reign as CEO of investment conglomerate Berkshire Hathaway. Since May, when he announced his resignation, the company's shares have lost about 5% in value, while the S&P 500 Index has risen more than 20% over the same period. This discrepancy results from the evaporation of the so-called Buffett's bonus because investors fear that without the legendary leader, the company will not achieve such spectacular successes.

As he left office, the legendary investor assured of bright prospects for Berkshire Hathaway.

“I think it has a better chance of surviving the next 100 years than any other company I can imagine,” Buffett said in an interview that aired Friday on CNBC.

Since the beginning of this year, longtime investor deputy Greg Abel has taken over at Berkshire. Buffett praises him: – I can't imagine how much more he can achieve in a week than I can in a month. “I would rather trust Greg to manage my money than any other top investment advisor or CEO of a top American company,” Buffett said.

From now on, Buffett's role at the conglomerate will be quiet, and he will no longer impart his investment knowledge from the stage at Berkshire Hathaway's legendary annual general meetings. – Everything will be the same. I'll be there, but I just won't be speaking at the annual meeting anymore, Buffett said.

Since 1964, Berkshire Hathaway shares have generated a total return of over 5.5 million percent, an average of 19.9% ​​annually – almost twice the long-term average of the S&P 500 Index.

Michael Burry: Tesla stock is extremely overvalued

Michael Burry, the hero of the movie “The Big Short” known for his anti-market moves, calls the shares of electric car maker Tesla “absurdly overvalued.” In December, the company's quotations reached record levels, approaching USD 490. Throughout last year, Tesla's stock increased by nearly 19%. Although this result does not seem unique compared to the American stock exchange, valuation indicators are noteworthy – Tesla is valued at over 300 times annual profits.

Even though Elon Musk's company's shares seem overvalued, Burry declared on X this week that he is not betting on their decline because he considers it extremely dangerous at this point. Even though the company's fundamentals are deteriorating, from a technical analysis standpoint, Burry calls this stock “the graveyard of shorts.”

– Shorting them is dangerous and selling options are expensive. That's why many people (betting on Tesla's decline – ed.) probably don't have much to do other than sell if they can, Burry said.

With Tesla's valuations at record highs, investors should be cautious as sales are expected to decline after an exceptionally strong third quarter driven by the end of subsidies for electric car buyers.

Head of investment at OnePoint BFG Wealth Partners: A barrel of oil is one of the most attractive and cheapest assets in 2026

Peter Boockvar, investment director at OnePoint BFG Wealth Partners, is convinced of the potential of the fuel market. – Pessimism is obvious, everyone is talking about excess oil, weak demand and oversupply. However, I see that the card is turning. The demand is quite good. “I think U.S. supply and production could decline in 2026,” Boockvar said.

The analyst points out that shares of oil sector companies are very cheap, and the oil itself, after taking into account inflation, is extremely undervalued. In 2025, Brent crude oil fell by approximately 18%, recording the worst year since the pandemic. In December, the price fell below USD 60 per barrel – the lowest level since 2021. It was an unprecedented third year in a row of declines in the price of “black gold”. At the same time, the price of Russian oil, according to some estimates, has fallen below production costs.

Carson Group Strategist: Bull markets are like cruise ships – they're hard to stop

After three straight years of double-digit gains, the U.S. stock market still has the strength to rally in 2026. This is what Ryan Detrick, chief strategist at Carson Group, who correctly predicted last year's bull market, believes. He bases his optimism on the growing profits of American companies and improving margins and does not expect a recession in the economy.

History also makes him believe in the continuation of the bull market.

– Looking back 50 years, we see five other bull markets that have achieved at least as much. Bull markets are like cruise ships – once they start moving, they are difficult to stop and turn around. The average duration of a bull market is 8 years, and the shortest lasted 5 years. I think this bull market still has a few tricks up its sleeve, says Detrick in an interview for TheStreet.

However, the strategist does not expect the S&P 500 to repeat last year's increase of 16% or the previous 20%. A more likely result for this year is 12-15%.

Jefferies: The metals and mining sector should outperform the market again this year

Shares from the metals and mining sector, which showed a very strong performance last year, should again outperform the broader market this year, say Jefferies analysts.

Over the past year, share prices in this sector have increased by almost 77%, taking into account the change in the S&P 500 Metals & Mining sub-index. The industry was driven by factors including tight metals supply, demand from increasing electrification and Fed interest rate cuts made during a period of strong economic growth. According to Jefferies, these factors should not expire this year, which is the main argument for the presented forecast.

“As a result, the sector should outperform the market this year as well,” says Jefferies.

According to analysts, the strong increase in metal prices may signal at least several issues. A sharp increase in the prices of certain metals, primarily industrial metals, may be an early signal of improving prospects for the global economy, but may also be a reflection of inflationary pressures.

Recently, not only gold, silver and copper have improved their records. The prices of aluminum and nickel also rose very quickly. However, Jefferies specialists openly admit: – Recent price changes cannot be explained solely based on fundamental indicators.

Company K33: Bitcoin will overtake stock indices and gold in 2026

Even though financial markets maintained a strong appetite for risk last year and stock markets grew significantly, bitcoin – considered a barometer of market sentiment – fell by about 6% during this time. This was unexpected for the cryptocurrency sector, which was counting on a positive impulse resulting from Trump's presidency.

However, 2026 should be much better. A number of factors are expected to push the price of bitcoin to record levels, says K33, a cryptocurrency trading and research company.

“Bitcoin will outperform stock indices and gold in 2026,” says K33.

According to K33 analysts, bitcoin currently costs as much as it did before Trump's presidency, an attractive valuation indicating that it is undervalued compared to other asset classes.

Cryptocurrency should be supported by expected interest rate cuts by the Fed. Market participants are currently pricing in at least two such cuts this year. K33 also sees a positive impulse for bitcoin in the expected regulatory changes – the Trump administration is to support bitcoin and encourage deeper integration of cryptocurrencies with the financial system.

“Bitcoin and cryptocurrencies have government support. Bitcoin prices do not reflect this change at all,” says K33.

The company speculates that a favorable approach from the White House may lead to cryptocurrencies being included in American 401(k) retirement plans. Additionally, in the first quarter of this year, the US Senate is scheduled to vote on a legislative package called CLARITY, which regulates the trade and use of digital assets by banks and cryptocurrency companies. Last summer, the bill was approved by the House of Representatives. Its approval in Congress is intended to strengthen the position of cryptocurrencies in the financial world, which, according to K33, is a positive factor for the bitcoin price.

Analysts point to the possible creation of an American strategic bitcoin reserve, on which Trump signed a decree in March last year, as another favorable factor. K33 estimates that the U.S. government has about $20 billion worth of confiscated bitcoin.

– Even if the US government never buys bitcoins, the strategy of holding them is good for the market. In the past, any seizure of cryptocurrencies was seen as additional supply pressure. Now they are withdrawn from the market and stored, argues K33.