That "gentleman" is you so why are you referring to yourself in the third person? You should call up your psychiatrist in a different voice and make an appointment....
Never owned the S&P so that's irrelevant. Maybe you can change your screen name and try again...
I don't think I need to offer 3 reasons. One thing you should compare is how the business performed vs the stock. Has the stock outperformed the business and to what degree? Compare and contrast that to the general market to get a sense as to how much appreciation is due to price and how much is due to business performance. My guess without even looking at the numbers is that the general market has enjoyed a greater multiple expansion than BRK for whatever reason.
If that's the case I would expect BRK to outperform the general market over the next 5 years...
Right. In with higher margin business and out with the low margin business. I like where they are going.
If Cramer is going after Buffett about IBM isn't that proof alone that Buffett is right?
Green long gone. Time to retire another screen name.
greensharts59 • Sep 22, 2011 12:07 PM Flag
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Update on this prediction:
iShares Lehman 7-10 Yr UST +5.2% (10 yr treasury return would be higher)
LOL Toddfraud, LOL.
Meanwhile, in addition to the carnage in USG which Yabfraud bought at $10, the Jan 2013 70 TLT puts he claimed he bought (versus the shorter term one he wrote that he was going to buy) are quoted at $.30 bid , $1.00 offer. So what's the paper mark on that Yab, $1.00, or are you still using $1.18? Less
Greenfraud, 4-Aug-11 11:55 pm "It's not an attack. I'll take the 10 year treasury with coupons reinvested against the total return from Wells Fargo and USG over the next 10 years."
August 4, 2011:
Green nowhere to be seen.
Remember how people kept comparing the Sears purchase to Buffett's original textile Berkshire Hathaway purchase? Well if that's their comparison then glimpse into the future:
NEW BEDFORD, Mass. (AP) -- The Massachusetts textile mill that helped billionaire Warren Buffett launch his investment empire, but which he also called one of his biggest blunders, is being torn down.
Roland Letendre, the current owner of the Berkshire Hathaway mill in New Bedford, started demolishing the structure on Monday after efforts to sell the property failed.
The mill, built in 1927, had been on the market with an asking price of $500,000, but it needs about $1 million in repairs, Letendre said.
Brkahoo, when making a decision you don't have the benefit of hindsight. There are no time machines. Everyone needs to invest in a way that makes them comfortable. I think risks are running higher than most people think.
Yeah, I read that.
How about this one from Steven Romick:
"We naturally care about making money for our clients. As committed investors ourselves, we've put our money right alongside yours. Over any short-term period, we don't worry – or expect – that our returns will exceed or trail the market. Short-term does not mean one quarter or even one year. It could mean a few years. Admittedly, the way we invest requires patience as only time will prove us correct. Rabbi Shlomo Riskin pointed out the fine and portable line between smart and dumb. "When you're one step ahead of the crowd, you're a genius. When you're two steps ahead, you're a crackpot."11 The only way we know to invest comfortably in the present is to look down the road, knowing at some point that there will be a place to refuel."
Brkahoo, I didn't exit the market. I ended up selling about half my equities due to the increased prices and increased risks present in today's market. Market cap of U.S. equities as a % of GDP is high, after-tax corporate profits are unreasonably high (in fact, at all-time highs over 11%), price to sales are high, etc etc.
And all of this is happening in an unnatural interest rate environment as the Fed is adding 1 trillion a year.
In my opinion, this will go on until it doesn't.
I don't feel comfortable being 100% in equities in that kind of environment. I am comfortable, however, being roughly half in equities. Cash is not a long-term hold, it's an optionality for future opportunities. If you don't have it, how do you take advantage of distressed opportunities?