Yeah but IBM was always much smaller potatoes. IBM was never worth even $15 billion, BNSFs value approached $70 billion. Now you have the congruence of whats gone on with BNSF as well as IBM, AXP, and possibly some concerns about PCP. If the stock price was down a lot, then I wouldnt move but at 137, its worth considering lightening the load especially considering the very high % of portfolio that some people have in Berkshire.
Carloads down 16% from last year over almost a 2 month period with petroleum at -26.55%, that is significant. Yes intermodal has made up a lot of it but its much lower revenue. For the 4th quarter carloads were only down 5.36% with intermodal roughly flat and it hurt income by 10%, this quarters hit will be much larger. Sure BNSF is only 20% of berkshire, but the strains there are real.
2 trillion is held by the federal reserve who sends the interest payments right back to the treasury, another 4.5 trillion is intragovernmental borrowing so in reality you have ~11.5 trillion in debt. The US has more than $12.3 trillion of home equity and more than $85 trillion of household net worth. We will survive and thrive
2.7 % premium growth to 33.8 still a big lead over geicos 23 but it will keep closing. Thats a nearly 15% underwriting loss and worse than the $3.4 billion underwriting loss last year. Of course theyre bailed out by the incredibly strong home insurance market that gave them a 2.1 billion underwriting profit and earned 4 billion on their very large investment portfolio so still grew net worth by a couple billion.
$500 million in liquidity, significant pension liabilities still, cant even come close to profitability in strongest quarter. Money will be gone very soon, with very little chance to raise much cash. Dont expect Sears to make it through 2016.
silly question. Berkshire tells you what they buy every single quarter. Generally, there have been small token additions to IBM. No change in q4, so theres your answer. No Berkshire is not doubling down and my opinion IBM was a mistake. Doesnt necessarily mean a mistake in judgment, sometimes the tide just turns but a shame to have it happen to Buffett's largest investment (by cost).
Hasnt gotten hurt too badly on the recent strength, probably not being too aggressive but still down a few percent from 8.93 a year ago, with the S&P down a little bit more during that period.
I bought KMI around the 33 level maybe end of 2014 somewhere around there, I sold at 42.55 the day that OPEC decided not to cut production, because I felt that the conventional wisdom that KMI was largely insulated from oil was not quite accurate.
9 out of 12 is not that bad. Yes warm weather does have some effect on retail and energy despite some people thinking its laughable. You have some areas of the country that are disproportionately affected by the industries that are struggling, particularly agricultural and energy, with a little bit of manufacturing as well and other areas that are still doing very well.
In the BNSF acquisition, they had to pay 30% of the acquisition cost in stock so the split made that stock a little more attractive by goosing demand a little bit.
but the Casinos should be back to profitability this year, that should help some.
An eastern railroad like that would be very interesting if you could get it done, but I dont think it would pass regulatory hurdles
buffetts stated that berkshire wont buy back stock during particularly turbulent markets, however the current market certainly doesnt yet meet that treshold.
at least from 2003, it turned 10k into 20k. HSGFX since 2003 has turned 15k into 13.85K
can u send em my way? Wife threw out my burger king coupons :( there was some good stuff in there