What Troubles The Washington Post?
By David Zanoni:In the past, The Washington Post (WPO) presented investors with a compelling opportunity for above average gains. Warren Buffett saw this potential as WPO is the 13th largest holding in the Berkshire Hathaway (BRK.A) (BRK.B) portfolio. The company name could almost be "Washington Post University" as it is primarily an education and training based business. WPO, through its subsidiaries under the Kaplan name, offers a variety of educational services such as certificate, diploma and degree programs through its campus and online. The revenue breakdown for WPO is as follows: 58% education, 18% cable television, 15% newspaper publishing, 8% television broadcasting and 1% other businesses. The Washington Post typically raises the dividend every year. However, the payout has remained stagnant in certain years. The longest stretch without an increase was from 1991 to 1994. On a positive note, the payout was never decreased year to year. The current yield is 2.9%.Complete Story »
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