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It's the worst first half for the investment and holding company since 1990, as price competition drove down revenue at Berkshire's insurance units, which account for about half of its income.

Berkshire is "close to getting more fairly priced", said Charles Hamilton, an analyst at FTN Midwest Securities, who has a "neutral'" rating on Berkshire. "I wouldn't say it presents a buying opportunity right now."

The 77-year-old Buffett told shareholders in February that profit margins from insurance would drop. "That party is over," Buffett wrote in his annual letter to shareholders. "It is a certainty that insurance industry profit margins, including ours, will fall significantly in 2008."

Berkshire also has been hurt by the declines of Wells Fargo, American Express and US Bancorp, three of the company's 10 biggest equity holdings at the end of March.

Berkshire closed at $120,100 on Monday in New York Stock Exchange composite trading, down from an all-time high of $151,650 in December. That's the sharpest drop in more than five years. But the slide hasn't deterred Buffett devotees.

"I'd put a new client in Berkshire right now," said Frank Betz, a partner at Carret Zane Capital Management, which oversees $800 million, including Berkshire shares.

Berkshire bulls are betting with history on their side: the shares advanced in 17 of the past 20 years.