Billionaire Leon Cooperman tells BI the S&P 500 is 'going nowhere,' Warren Buffett crushed it — and there's more to life than work

• Leon Cooperman issued a downbeat outlook for stock markets and the economy in an interview with BI.
• The billionaire hailed Warren Buffett for doing a "fabulous job" ahead of his retirement.
• Cooperman said passion for work is important, but his greatest successes are his wife and kids.

Leon Cooperman struck a wary tone on stocks and the economy, paid tribute to Warren Buffett — and shared his biggest tip for young people.

The billionaire investor told Business Insider on Monday he has a "very conservative outlook" for the S&P 500 given "what's going on in the world."

The benchmark stock index has nearly doubled over the past five years to record highs above 6,000 points, and trades at a historically expensive 23 times forward earnings.

"The index is going nowhere," Cooperman said, adding that investors are better off identifying undervalued stocks than betting on the whole market.

Cooperman predicted the US would face a painful combination of slow growth and high inflation, as tariffs and overseas conflicts threaten to derail supply chains, disrupt production, and drive up prices.

Bidding farewell to Buffett

The former boss of Goldman Sachs' asset management division, who converted his Omega Advisors hedge fund into a family office in 2018, also hailed Buffett as the Berkshire Hathaway CEO prepares to step down at the end of this year.

Cooperman described the legendary investor as "smart" and "rational," said he's done a "fabulous job for shareholders," and held him up as the "gold standard in the business."

Buffett has transformed Berkshire from a failing textile mill into a $1 trillion world-beater during his 60 years in charge.

The "Oracle of Omaha" may have decided it's finally time to step down because he's "tired" or may "fear he's missing a step," Cooperman said.

"At 94, most people are dead," he added, underscoring just how long Buffett has kept going.

Living a full life

In the spirit of graduation season, Cooperman offered some advice for young people in both their professional and personal lives.

"Love what you do — it's too demanding and difficult not to," the Wall Street veteran said. "Pursue it with a passion," he continued, adding that he spent 25 years at Goldman but it never felt work because he enjoyed it so much.

Cooperman also emphasized there's more to life than hustle and grind.

"I've been married 61 years to the same woman," he said, adding that his greatest success in life is "my kids still come home."

Finally, Cooperman shared his approach to raising good children: "Live an exemplary life."