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ValueMaven

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Posts posted by ValueMaven

  1. 15 hours ago, ValueArb said:

     

    As a shareholder, isn't this what you like to see? Stay out of favor and cheap to maximize your gains from the buybacks?

     

    Yes - agreed.  The pace of buybacks has been really interesting given the decline in the stock.  Capital allocation here is the best in the group IMHO ... 

  2. Let's hope BNSF is able to take some market share from UNP 

     

    Union Pacific also has drawn scrutiny from the Surface Transportation Board, the regulator overseeing U.S. freight railroads. The STB in December held a hearing singling out Union Pacific’s soaring use of embargoes—restrictions that rail operators place on the amount of cargo that can be transported—that the regulator said had sparked complaints from shippers and worsened supply-chain issues.

     

    https://www.wsj.com/articles/hedge-fund-seeks-ouster-of-union-pacific-ceo-cdf09e9e?mod=markets_lead_pos5

    Soroban+-+Letter+to+Union+Pacific's+Board+of+Directors.pdf Soroban+-+Presentation+to+Union+Pacific's+Board+of+Directors.pdf

  3. The idea behind Marmon, PCP, and Alleghany - is that all three could do a lot of bolt on deals ... in different industries ... which are immaterial to Berkshire HQ - but overtime could be sizable to the organization.  The results are still out on this - but frankly, as mini-serial acquires these have been so-so.  Marmon was a solid double, PCP is mixed so far ... and Alleghany is really interesting.  

  4. 1 hour ago, RedLion said:

    I think shorter duration TIPS look like a really good alternative to I-bonds right now. You're getting about 140 more basis points of yield without any penalty. Even if rates keep going up the short duration should minimize any short term mark to market losses. The big risk to this would be the CPI going negative in a big way over the next few years. Even this can be mitigated by buying the 5 years treasuries at auction or close to the initial price without inflation adjustments since the TIPS will always be worth the original price at a minimum. 

     

    Here's one maturing 1/15/26, 2% TIPS, trading at $100.38 pricing, YTM is 1.87% plus inflation. Cusip 912810FS2

     

     

     

    Thank you @RedLion - I still dont fully understand TIPS however.  

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