ander

So GOOG doing this could suggest stock valuation is elevated and / or they do not want to take on debt. Berkshire buying of course suggests it is an attractive priced security or some element of if AI is going to be a big part of economy having a 2.5% investment (incl current holding) via GOOG may be reasonable and the best way to express it. Because even if it's wrong, the other pieces of GOOG likely support current share price. Just thinking through it...

honestly. doesn't even make any sense re: stock price move. I'll take it! is this literally computers selling off headlines or did computers / someone buy into the print hoping for a pop and now just selling? too good

I like him buying, BUT I prefer him buying 3/5 or after -- after the 8k release. An announcement of a buyback (or resumption of a buyback) is material news. All he had to do to uphold BRKB high historical standards and to avoid the perception of any impropriety was wait a day (not legally required but would have been the right thing to do for his partners selling on 3/4 imo). Counterargument is that they were not legally required to disclose the resumption in an 8-K, but by the fact that they did disclose it seems it was viewed to be important enough. In which case, the prudent thing for the CEO who know the buyback was being resumed and would be announced is to wait 1 day.

I am a multi-decade shareholder. I like the purchase by Abel but I do not like the timing. It is inappropriate given that BRKB felt they wanted to be transparent and let fellow shareholders know by filing an 8K. If they wanted to be transparent, they should have announced the share buyback in the 8K and then subsequently Abel should have been allowed to buy. Maybe I am missing something, but I am scratching my head.

Agree as well. My intrinsic value for BRKB just went up.

agreed Berkshire stock could go down (which probably not as relevant to Ajit), but intrinsic value likely goes up much more given the position they are in.

Is Ajit selling really a concern given that he's had a long history of selling / gifting? It is of course not a positive signal, and I understand it is a large proportion of what is remaining, but I do not believe it is necessarily a suggestion of impending doom at Berkshire (remember if there is impending doom in the broader market, that is where Berkshire often does the best so one would not want to be a seller of shares right into it).

Fairfax 6-K "“As previously announced in 2020, I purchased in the market an additional 482,600 subordinate voting shares of Fairfax at a price of US$308 per share, or approximately US$150 million in total. At the time, I believed, and I said publicly, that the trading price for Fairfax shares was ridiculously cheap and very significantly below intrinsic value, and I was acquiring these shares as an investment. Even though I believe our shares continue to trade well below intrinsic value, I decided to sell a portion of the shares I acquired in 2020, representing only a small portion of my total holdings of Fairfax, for estate planning reasons. As a controlling shareholder, my salary has been fixed at C$600,000, and I have never had a cash bonus nor received any shares as compensation for decades. I continue to control the 1,548,000 outstanding multiple voting shares and 519,828 subordinate voting shares of Fairfax, representing greater than 90% of my net worth, and I am not contemplating further sales. As I have said many times, Fairfax is not for sale, and I am confident that our future is very bright. As always, the best is yet to come,” said Prem Watsa, Chairman and Chief Executive Officer of Fairfax."

And further out, I'm guessing closer to $4,000+ USD in 7 years. Likely should be $1500 plus today and compound 17% per year gets you there.

Definitely conservatism re: the $125 / share versus what should be $150+ normalized earnings. I would not want him to overcommit and disappoint.

@MMM20 I agree with Gregmal they're idiots if they do not have a margin of safety for stock price movement that forces their hand. I have an oversized position and added to it - am only annoyed it's not down further! But @MMM20 what do you think the price threshold would be that would actually force their hand??

Doubt MW is playing it long after covering but who knows. But wouldn't be surprised if they're wary of index inclusion with the timing of this report -- cover before Fairfax added to index maybe.

Read the presentation. Nothing stands out as material. He's not saying there is fraud but rather the accounting practices are aggressive in some cases. 1) In the interview on CNBC, he did mention x-head of PWC (the auditor) being on the board. R. William McFarland. Carson suggested this board member might be keeping the auditor less independent than otherwise would be. His bio is at the bottom. Seems like he's involved as a director at a number of their businesses. I do not necessarily like the connection if he was the former auditor for Fairfax but nothing sinister in itself. He may know the businesses better than others and can possibly add more value and is appropriate to be on the board. Anyone have a view on Bill? 2) In the interview on CNBC, Becky asked where he would cover. Carson did not answer. Said if book value should be 20% lower and should trade lower than book value at 0.8x or so instead of premium because they are manipulating book value. Overall, I find the short case to be extremely weak!! Guess it is an opportunity for investors / Fairfax to buy additional shares lower. Mr. McFarland is the Chairman of the Board of Directors of AGT Food and Ingredients Inc. and a director of our publicly traded subsidiaries, Dexterra Group Inc., Farmers Edge Inc. and Fairfax India Holdings Corporation. Mr. McFarland previously served as Chair of the Board of Directors of The Conference Board of Canada. Mr. McFarland was the Chief Executive Officer and Senior Partner of PricewaterhouseCoopers LLP (Canada) from 2011 to 2018. Prior to that, Mr. McFarland was a member of the executive team at PricewaterhouseCoopers LLP (Canada) from 2005 to 2011, having been admitted to the partnership in 1992 and having led the Greater Toronto Area audit practice from 2002 to 2005. Mr. McFarland is a Chartered Professional Accountant and a fellow of the Chartered Professional Accountants of Ontario.

I think this is an incredibly important point for all of us long-term shareholders. I do believe they are well positioned to execute and agree that "Multiple expansion HAS NOT HAPPENED." and "Multiple expansion is rocket fuel to a share price." I also agree it will happen.

"I could see Fairfax exiting the TRS position when they feel shares are close to fair value (by close i mean within 10%)." @Viking Appreciate your analyses. Any guesses what Fairfax (i.e., Prem) may view as fair value today? or what do you think is fair value today?