My guess is adding to the PSX position. Perhaps down the road there will be an opportunity similar to BAC, GS, etc. with one or more of the European banks.
As far as doing friendly deals my take is that Buffett has found a way to have a slight edge.....acquiring companies that have cyclical earnings. BNSF and PCP seem to meet that profile as does PSX. A CEO/management team of a firm with cyclical earnings might much prefer being a subsidiary of BRK. BRK does not give any guidance and has always been clear that earnings could/will be 'lumpy' is the prefect fit for such companies.
I think that BRK will continue to increase its ownership position both via direct purchases as well as PSX continuing its aggressive buy back. My guess is that the deal is announced sometime in 2017.
In regards to the businesses that Buffett has traditionally attempted to purchase the prices are so high that the only way they can make it "work" is having 3G be involved so that the deal has a leveraged buyout aspect to it (i.e. Heinz and then Kraft).
Agree for sure. I think that within the next 6-18 months BRK will be involved in 2 huge (i.e. $50+ billion each) acquisitions. I think it's likely that they acquire PSX which is a scenario where BRK is slowly but surely increasing its stake while at the same time PSX is aggressively buying back shares. The other transaction will be KHC acquiring a large food company.....my guess is Mondelez. If so it will be interesting to see what role BRK has in the deal.
Sentiment: Strong Buy
BRK pays little or no investment banking & consulting fees.
I find the commercials where companies are doing a merger/acquisition and are bringing in a consulting/advisory firm to "help" them to be laughable.
Sentiment: Strong Buy
It's poorly written but my interpretation is that the shares are being sold by Majesco's former parent (I thought the business name is Mastek). If so there will not be any dilution as the shares being sold are part of the position they held after the spin-off took place.
One huge issue is that the float is so small that we are seeing wide price swings on extremely low volume.
Yes. BRK has so much cash (and access to additional cash) that paying a dividend will not result in missing out on any investment opportunities. Also I have very little confidence in Todd Combs especially if he is in charge of "investing" $7+ billion. Rather than "stock picking" I would much prefer to see BRK buying entire businesses or buying the stock of companies that they would like to eventually acquire (i.e. hopefully PSX). The IBM investment has been a disaster but because during the same time period Warren has made the company so much $ in other deals one has to give him a pass.