morning sean, i have a question for u, its nice to have a new adult join us every 6 months or so,
++ As I’ve long told you, Berkshire’s intrinsic value far exceeds its book value. Moreover, the difference has
widened considerably in recent years. That’s why our 2012 decision to authorize the repurchase of shares at 120%
of book value made sense.++
From that sentence by how much do you think buffett thinks IV exceeds bv by, just a guess ? 20-30 %, 40--50 %, more than 60 % ? If, IF, during the year he thinks IV exceeds BV by 70 % or more, YYY, does a 1.2 xs book buyback LIMIT, make sense ? Y wouldn't it make more sense, to amend the buyback to authorize buybacks at, material discounts to iv ? if anyone else would like to opine have at it, thank you. Team brkb wouldn't allow becky to ask that question so i'll ask it here.
H, Buffett has raised the buyback threshold before (from 110% to 120%) and he can raise it again. More important is the notion that for all intent and purpose, if the price of BRK falls significantly below 120% of BV, chances are the general market will be materially down and there may be other investments that make more sense. The only realistic way that BV falls to any great degree is a collapse in market prices of the equity portfolio.
beach, IF kernen knew brkb was public he might have asked, in view of the tone of your remarks in this years letter, if u didn't raise the buyback limit THIS TIME, will u ever raise it again ? IF brks IV exceeds BV by 60 % TODAY, would you raise the buyback limit ? but kernen is the class clown hence 95 % a waste of time.