Jump to content

Buffett's latest letter


yadayada
 Share

Recommended Posts

http://www.berkshirehathaway.com/letters/2014ltr.pdf

 

For the people who missed it, if you dont read them on a regular basis, this one is probably worth reading more then the others.

 

Here is an update of the two quantitative factors: In 2014 our per-share investments increased 8.4% to

$140,123, and our earnings from businesses other than insurance and investments increased 19% to $10,847 per

share.

 

Also their flaot is about 80 billion, yet valued as 15 billion. If you think their float is worth 65 billion, their earnings are valued 15x, total value per share would be:

 

150$ + 140$ + 30$ (extra value of their float) = 320k$ per share. Or about 45% more then current value. But probably less because of holding comp discount?

 

 

Link to comment
Share on other sites

"If an investor’s entry point into Berkshire stock is unusually high – at a price, say, approaching double book value, which Berkshire shares

have occasionally reached – it may well be many years before the investor can realize a profit"

 

Buffett thinks double book value is expensive and he will buy back stock at 1.2x book value so you can already figure out what he thinks the fair value range is..

Link to comment
Share on other sites

thank you for your invaluable contribution to this discussion.

 

Your sarcasm aside, I was just pointing out that 1) there's a whole sub-section of this forum dedicated to dicsussing Berkshire, and discussion of Berkshire should probably go there, and 2) there's already a multi-page thread where people are discussing the new letter, and fragmenting that by creating new threads probably isn't the best way to do things.

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
 Share

×
×
  • Create New...