Motley Fool Money: "Au revoir, Warren…."

Date: November 13, 2025
Host: Tyler Crowe
Guests: John Quast, Matt Frankel

Episode Overview

This episode centers on Warren Buffett’s recent “farewell” Thanksgiving letter as he formally steps back from day-to-day involvement at Berkshire Hathaway, marking the end of an iconic investing era. The team discusses what this means for investors, reflects on Buffett’s enduring wisdom, and covers lessons in distinguishing signal from noise amid market headlines. The episode also includes their weekly “Stocks on Our Radar” segment.

Key Discussion Points & Insights

1. Market Response to the Government Shutdown

(00:05–04:02)

• The hosts kick off by acknowledging the end of a historic U.S. government shutdown, discussing its surprising lack of impact on stock market performance.

  • S&P 500 Return: Up 2.08% during the 42-day shutdown; Dow Jones up 3.91%.
  • Tyler Crowe: “The market didn't really seem to care that much... That’s technically better than the historical average.”

• John Quast stresses the importance of not minimizing the hardships for affected workers but notes the market's resilience:

  "You would have thought that it would have made a big difference in the stock market... But looking at the results, it frankly didn't." (01:44)

• Matt Frankel explains potential risks the market avoided by not extending the shutdown, such as disruption for government REITs, airlines, and the timely release of economic data:

  "The most important thing isn't what the shutdown means to investors... It's what we are avoiding by the shutdown not lasting even longer." (02:41)

2. Filtering Signal from Noise as Investors

(04:02–07:49)

• The hosts reflect on why investors obsess over dramatic headlines and discuss the skill of tuning out media “noise.”

• Tyler Crowe raises the challenge of focusing on long-term business value versus reacting to short-term news:

  "This is very much one of the signal versus noise problems that we as investors have to grapple with every day." (04:34)

• Matt Frankel shares his practice of categorizing events as temporary vs. permanent headwinds:

  "There's really no world where the government shutdown would have dragged on forever... I love investing based on temporary headwinds." (05:34)

• John Quast echoes the need to use “time as a filter”—evaluating the real, lasting impact of headlines such as demographic trends or housing shortages over fleeting events.

3. Warren Buffett’s Farewell Letter & Berkshire Transition

(08:56–12:00)

• Tyler Crowe introduces Buffett’s Thanksgiving letter, marking his decisive step back. Buffett sets out that Greg Abel will handle Berkshire operations, with Buffett’s future role limited to an annual letter.

  "We got a little bit more sense of finality this week of Warren Buffett's tenure... And in short, Greg Abel's going to handle all of it." (08:56)

• Matt Frankel finds the move unsurprising given Buffett’s age and gradual withdrawal:

  "He's 95. His involvement behind the scenes, I'm guessing, has been declining for some time... I'll certainly be reading these Thanksgiving letters as long as Buffett's around." (10:03)

• John Quast remarks on the understated nature of Buffett’s final letter:

  "If this is his farewell, it really felt anticlimactic... I would have loved to see something just way more ceremonious and just way more celebratory for such a great career. But then again, you know what? Buffett, he's a simple guy. He's a modest guy. It did feel like how he wants to go out." (10:58)

4. Favorite Warren Buffett Lessons

(12:00–15:11)

• Each host shares a Buffett quote or lesson that influenced their investing:

  • Tyler Crowe: Cites Buffett’s advice to “start with the A's,” emphasizing relentless effort in research and using Buffett’s principles instead of blind imitation.

  • John Quast: Loves from the 1992 letter, “we think the very term value investing is redundant,” highlighting Buffett’s view that all true investing is about buying future value.

    "You can't calculate future value without estimating its future growth... all investing for Warren Buffett is value investing." (13:15)

  • Matt Frankel: Favors “It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price,” explaining how this transformed his approach from bargain-hunting to focusing on business quality.

    "Cheap garbage is still garbage... Now I focus on great businesses first, then consider valuation and it has served me well for more than 15 years..." (14:18)

Notable Quotes & Memorable Moments

• John Quast (on ignoring daily headlines):

  "Very few of the headlines are actually of true significance for long term investors." (01:44)

• Matt Frankel (on investing mindsets):

  "I tend to try to compartmentalize things into temporary and permanent headwinds for my investing decisions..." (05:34)

• John Quast (on lasting trends):

  "Baby boomers are hitting retirement age, this huge generation. That's a trend that can play out for significant time..." (06:35)

• Matt Frankel (Buffett wisdom):

  "Cheap garbage is still garbage." (14:18)

Important Segment Timestamps

• 00:05: Show start & shutdown market impact
• 01:44: Market ignored shutdown headlines
• 04:34: Filtering signal from noise in investing
• 05:34: Temporary vs. permanent investment headwinds
• 08:56: Buffett’s exit, Berkshire’s leadership transition
• 10:03: Reactions to Buffett’s Thanksgiving letter
• 12:00: Hosts share influential Buffett wisdom
• 16:36: Stocks on our radar segment

Stocks on Our Radar

(16:36–20:18)

• Tyler Crowe: Canadian Solar (CSIQ)

  • Thesis: Positioned to benefit from AI-driven energy needs; large-scale utility focus despite recent valuation struggles.

    "I see a business that is going to catch a long term trend with AI infrastructure buildout in solar." (16:36)

• Matt Frankel: Appian (APPN)

  • Thesis: Beaten down automation platform making a comeback; recent profitability and strong earnings signal an inflection point.

    "The business really appears to have reached an inflection point." (18:15)

• John Quast: Deckers Brands (DECK)

  • Thesis: Simpler business model, now at a more reasonable valuation; strong balance sheet, growth in key brands.

    "If you're going to own a shoe stock, you want to own a quality one and I think Deckers is that." (18:59)

Conclusion

The farewell from Warren Buffett marks the end of an era, but also underscores the continuity of sound principles—focusing on long-term value, diligent research, and seeing through short-term market noise. As the episode wraps, the team recommends beaten-down but fundamentally strong stocks, staying true to Buffett’s influence.

For more resources, transcripts, and disclosures, see the Motley Fool show notes.