bet the trifecta.......Tesco, IBM, and CBI?.
A few days back one expert (referring to CBI) commented that it is sometimes good when a security is mispriced.
Remember mungo claiming how there was a "steady" buyer in the low 160's?
Just read that the IBM buybacks have slowed to a "trickle." Very confusing because if down is good then there should be a gusher of stock being bought back. Maybe they are waiting for the price to drop below $150.....I think it's coming.
None of the 'experts' have mentioned the "sell BRK and buy IBM" swap lately. Not sure why because it's an even "gooder" transaction today. UCMTSU.
What is happening to profit margins in that space though? My take is that those "high margin" businesses/markets that they have been targeting will also have drawn a number of competitors. Also it seems likely that Ginni will exit as CEO within the next 12-18 months.
Experts are discussing/debating whether mungo should be on BRK's BOD.
On 1-14 mungo told his adoring followers that he had closed his XOM position on 12-22.
No update from todd as to what specific energy stocks he has purchased.
Trading under $40. "Experts' were piling into it when it was in the 60's and as the price collapsed of course they were averaging down (Down is good!). Just a thought....who in their right mind would put that much faith in a Todd Combs pick?
The maximum amount of pain to a large number of expert board 'experts' and of course to our good buddy Todd who was last heard saying to buy energy stocks when oil was at a significantly higher price than it is today......UCMTSU.
Continue to believe that it will drop below $150 which should trigger massive selling, analyst downgrades, etc.
H, Q4 earnings should be good and BRK continues to acquire (especially bolt on by the subs) profitable businesses that will add to future earnings. Also think it is quite likely that another large deal with 3G as the managing partner will be announced in 2015. Keep increasing earnings and the BV, despite poor investments such as IBM & CBI, will take care of itself. My prediction is that in 2015 we will see BRK outperform the S&P 500. Note: I don't bother trying to predict how the market itself (i.e. up or down) will do.....I leave that to the expert board 'experts'.
Going back to 2007 the wife of a friend worked for T and they were saying what a great company it was and how they were purchasing the stock, etc. At the time the price was $40 per share. A decent dividend so not a total disaster but would have to classify it as a rather poor investment. From then to present how much equity did management suck out of the company?
Previously Mungo was 'pounding the table' that no one should sell below a multiple of 1.5. Now at 1.55 the multiple expansion has ended?? Relative to a great many stocks BRK's multiple is still on the low side. Also management is not stealing from its stockholders with options, etc....based on that fact alone the stock should sell at a premium to the market multiple. We'll see you at 1.75...........
Jim (Mungo) had some really long posts about buying long dated IBM call options. Think what he is missing and the posters who work in the technology sector always seem to mention it is that IBM's competitive landscape has changed. What's unbelievable is that 'experts' are still discussing, depending on the ratio, selling BRK and buying IBM. UCMTSU
Am very much hoping he is the seller as well. Would also provide maximum entertainment value as it would be equivalent to "pulling the rug" out from underneath the fools....I mean 'experts.' What happened to their observation/theory that there was a steady buyer in the low 160's??
Expert board "experts" pleading that BRK buy CBI.
TRANSLATION: we are so far underwater on the stock that only a buyout can save us.......
What is the price level that will bring about "maximum pessimism?" It's definitely under $150. Over the years how many Buffett quotes could we find where he gave multiple reasons as to why he would never invest in tech stocks?