Berkshire Hathaway, Inc. (NYSE:BRK-B)

CAPS Rating: 5 out of 5

A holding company owning subsidiaries engaged in a number of diverse business activities, including property and casualty insurance and reinsurance, utilities and energy, finance, manufacturing, retailing and services.

Recs

7
Player Avatar georcole (47.73) Submitted: 9/17/2011 9:43:36 AM : Underperform Start Price: $70.05 BRK-B Score: -27.29

I hate to do this to Warren, but signs point that way. We can all understand that it gets harder to invest, and get the growth numbers that you used to, when the company gets too big. Warren himself has said it. There is also the old saying "The trend is your friend." Look at a one, two or three year chart vs. the S&P and you will see that the S&P wins all three years. Apparently Warren has had a rough go of if during our current financial crisis.Finally, I had a green thumb on the A shares when I first started in CAPS. It was negative almost the entire time that I had it open. When Warren split the B shares for his Burlington Northern purchase, and there was immediate talk of the B shares joining the S&P, I finally turned positive. I do not see another major catalyst, like joining the S&P happening again anytime soon. So as much as I love Warren, I can only see red thumbs in the near term future.As an interesting side note, I credit Warren with helping me quit smoking. About eight or nine years ago I was reading where he was asked what advice he would give to a young person, just starting out. His answer was something like this. Imagine that you could have any car you wanted. It doesn't matter how fancy or expensive. The only catch is that it would be the only car you could ever have. You would change the oil every 1,000 miles and keep it in tip top shape so that it would last you your entire life. Your body is that car. Take care of your health. I quit smoking the next day and haven't looked back since. Thank you Warren, and thank you as well to the Motley Fool writer who put that in an article that I read.

Report this Post 5 Replies
Member Avatar bugbeegalusha (38.30) Submitted: 10/4/2011 2:48:17 PM
Recs: 1

He is known for hamburgers and cokes for lunch too. Hmmm

Member Avatar kmacattack (63.64) Submitted: 10/26/2011 10:04:59 PM
Recs: 0

Berkshire is $78 plus today, having made a huge rally in the last month. I wrote an option @ $77.50 about a week ago and was surprised at the premium I received. I may buy the call back in and write an $82.50 if the momentum continues to look strong.

Member Avatar Nachanok (< 20) Submitted: 11/3/2011 4:43:04 AM
Recs: 0

Dear All,

The BRK-B would go down to about US$65 during early December 2011 (another economic turmoil when Greek would vote no to Eurozone). You may short sell now and buy long after December 2011. Please be patient and reap huge profits or premiums.

Best regards,
Peter Edwards

Member Avatar mardukkorn (73.94) Submitted: 12/8/2011 5:21:25 AM
Recs: 0

Caps is about relative scores. The question is not if growth will be slow but if it will be better than the Index, which is not looking too good either.

Member Avatar chk999 (99.97) Submitted: 12/15/2011 5:56:59 PM
Recs: 0

74.90 today and they are buying back when the price is less than 1.1 times book.
I'd say this was a poor call.

Featured Broker Partners


Advertisement