Sorry to pile on but you sure got it wrong.I cant imagine why he bought more with all the insights and clarity you provided on IBM.But I must give you an A for effort.
Have to disagree with you there,I have owned Berkshire since 1992 and have added to my holdings many times since then,and I think the market consistently gets it wrong on the low side.Both Buffett and Munger have indicated publically that the intrinsic value of the company is far higher than the accounting value ie value of cash and marketable securities and a reasonable PE valuation on the growing earnings base of the wholly owned businesses.
I understand your argument that Berkshire is not an unpopular stock,all one needs to do is go to the annual meeting and see all the outpouring of love and joy of stockholders to challenge my statement.But the stock is not touted promoted or held by wall street and thus the low trading volumns and activity that I do feel negatively effects the market price.
Berkshire is without doubt the least popular large cap stock.Only 347 shares trade on an average day out of the 1.64 million shares outstanding.This is not surprising given its two hundred thousand dollar price per share and Wall Streets dislike of Berkshire and Buffett.It does raise the question of whether the stock is priced correctly on a daily basis given this demand side negative bias.
I agree to a point,since 2006 his focus has been on buying other companies as opposed to taking stock positions in publicly traded ones.BNSF,Marmon and Heinz being the largest and best examples.Every year in the annual letter he emphasizes this change in focus.The numbers speak for themselves. Has he made some mistakes in valuations and timing,sure.Was IBM a mistake,dont know yet.Has Buffett lost the "it" thing,I don't think so.As a stockholder you should ask your questions to him at the annual meeting.
I get it,,but where else do you get a better chance to win than with Buffett,even with the imperfections of his game?
Morning HC,here is your pop quiz for the week.IBM pays their quarterly dividend of $1.10/share March 10th.Based on Berkshires ownership of 70 million shares how much will that increase their BV? Reminder from last weeks quiz, you cant pass unless you answer the question.
AXP,KO,IBM.USB,WFC USG are all up.big gain in BRKs BV,got to be in the $billions.Success beges success
wow,its up today and so is IBM.Thanks for the tip but I still have to give you a zero grade on the quiz,but I like your #$%$. Sorry,no more time to play gotcha with you today,have a 12:20 t time.
Morning HC,Your pop quiz question for today.In the 65 year history of the S&P500 index going back to April 1st1950 when it closed @$20.51 to yesterday when it closed @$2062.52,who has made the most money investing in the U.S. stock market; long term oriented optimistic investors,or short term pessimistic type mind sets?
One important takeaway from WEBs TV interview yesterday is his honesty and integrity.When asked about the Keystone pipeline he stated that he thought it should be built,knowing that it will take away hundreds of millions in revenues from BNSF that he owns.
what I have been trying to explain to you for a couple of months,it aint no big deal.