ValueMaven

https://www.houstonchronicle.com/business/energy/article/Oxy-expects-higher-asset-sales-to-pay-down-debt-16364919.php

Great recap. Thanks for sharing! I'm starting to think: 6% organic growth + 5% share buyback + cash optionality = 10% - 13% over the long-term - I dont think that is unrealistic, and I dont think the shares are currently pricing in this high-level assumption

Clayton Homes is on total fire right now ...

Anyone else surprised by how strong MSR has been? Hard to really know what is going on there... Also BNSF reported its largest quarterly profit since Berkshire acquired it.

Just starting to go through this - high level - very solid quarter ... not amazing, but extremely solid across the board. Buyback has averaged $6B in Q and is at a FY run-rate at $25B+ ... we are looking at $50B over the trailing 24M if this occurs ... remarkable. The stability of the underlying businesses remains ... resilient but also some cyclical exposure as well. Insurance still continues to post profits but reinsurance had a loss (??) Bought back the largest amount in 2Q at over 8.5M B-shares at basically $280 --- just were the stock is now ($2.5B) - which is a positive sign. Maybe the goal is to return all excess capital that the business generates to shareholders this way?? Keep the large $140B of cash - but use operating income less CAPEX and return it to shareholders. I'm all for that. This is always my favorite 10Q to go through - I always learn a lot!

Thought I'd start a thread for 2Q 2021 earnings which comes out tomorrow at 8am EST

Liberty Media's ownership of Sirius now stands at 78.1% as of July 23rd. Management bought back 3.2M shares of LSXMA/K during the quarter at an average price of $44.27. This is a really interesting mixture of SIRI aggressively buyback back stock and the tracker buying back its own stock at a ~30% NAV discount. Next few quarters should be interesting.

Agreed. Very nice Q here. I've been out of FFH for YEARS given all of the macro nonsense. I may need to start a position again.

This is pure gold. Thank you!!

Thank you for posting. This was a great acquisition by Berkshire. Hopefully more to come.

Isnt the catalyst here that once Liberty owns 80% of SIRI - it can take SIRI's cash-flow (tax free) and use it to aggressively buyback the tracker at a massive discount?? Also - it is possible that Liberty simply merges both the tracker and SIRI together in early 2022.

Very solid beat across the board by SIRI. Ahead of expectations of paid sub growth. FCF higher then expected, and buybacks slightly lower then expected. This is still a 4Q21/1Q22 story for LSXMK. Liberty will likely cross 80% ownership sometime in late 3Q/early 4Q at this rate. NAV discount is around ~38%

SIRI surprised the market and is buying back another $2B of stock. This will take Liberty’s owernship over 80% over the next quarter or two. At which point the cable cowboy will literally merger the LSXMK into SIRI or use SIRI’s tax free cash flow to buyback stock aggressively. It’s fairly obvious to me the NAV spread will collapse over the next 12M’s IMHO

With all due respect - this statement is a bunch of FTC BS. How pompous.. . “Although this outcome preserves competition, it is disappointing that the FTC had to expend significant resources to review this transaction when we previously filed suit in 1995 to block the same combination. Questar Pipeline attempted to purchase a 50% share in the Kern River Pipeline but the parties abandoned those plans shortly after the Commission’s suit. Given our prior action, and the even closer competition that developed between the pipelines since then, this is representative of the type of transaction that should not make it out of the boardroom. The Bureau of Competition will be actively exploring its options on how to curtail this type of re-review to better deploy the Commission’s scarce resources.”

For what its worth Kern River has turned into a MASSIVE homerun for BHE. Whatever the case might be, still 80% of the deal got done. It is what it is.

yea; but only 20% of the total value. slightly disappointing - but at least they closed on the majority of the assets

First time seeing this ... thought I'd share

AAPL hit an ATH a day or two ago. Getting very little press. This is has turned into a massive homerun for Berkshire. Warren knows the consumer extremely well.

How do you even figure that?? OXY gave him a sweetheart deal. Not many places (any!) that can give you $10B of capital in an hour.

I have not looked at Hersey's valuation in years. Might be worth reading the 10K tonight - but it seems like a stretch. CEO could simply be in town for an event. Or maybe a deal with Warren. I'd love to know the hit rate on these type of calls. I mean the OXY spotting was dead-on. Speaking of which - given the rally in oil - that is looking like an awesome deal.

His Dillards call has been a massive homerun recently as well.

His track-record as the GP of Peninsula Capital has been widely talked about. Massive outperformance in a concentrated way. Had a massive homerun in WR Grace - buying it below $1 in chapter 11, and riding it out until over $50+. This is all from memory - however, I know this topic was covered extensively here in the past

Factor in the time value of money, the fact that nothing is happening here for YEARS, and I fail to see why FNMAS should be trading for anything over $1

https://www.barrons.com/articles/warren-buffett-filing-indicates-berkshire-hathaway-bought-back-6-billion-of-stock-in-2nd-quarter-51624487156?mod=hp_LEADSUPP_1

Source on the CNBC interview? That would be awesome. Regarding Hershey - I dont know enough. I know Buffett has sung the praises of Mars for years