Barclay's on BRK

[dcollon]

Barclay's picked up coverage of BRK this morning.  I thought some of you might enjoy reading the report.

 

 

[woodstove]

Thank you!  A lot of careful work went into that report, quite clearly.  Looks like a good read, and some new info vs previous coverage.

[Rabbitisrich]

Thanks.

[link01]

thnx for that. it will be interesting to compare methodology with alice's back in the day. at a weighty 64 pages its gonna be a slow slog for moi, tho!

[mpauls]

I skimmed through it.  It looks pretty good and it appears as though they came to pretty much the same conclusions I did, which will appear in a report I'll be sharing in a few days. 

 

cheers

 

[mpauls]

Yikes Scratch that, though they arrive at a reasonable number, they botched the valuation.   

[shalab]

Thank you for sharing.

 

Although the author has put together a bunch of data together, I think the author goes wrong in trying to come up with a model to predict berkshire's earnings. He misses the boat in many areas which is fine.

 

I think Alice Schroeders valuation was much better though it is much dated.

 

 

[Guest longinvestor]

Thank you for sharing.

Although the author has put together a bunch of data together, I think the author goes wrong in trying to come up with a model to predict berkshire's earnings. He misses the boat in many areas which is fine.

 

Fully expect many such analyses to be published, now that BRK is part of the S&P. Surely this is a new phase of  BRK ownership experience for old timers. Who knows, the newcomers are about to prove that efficient market theory works with BRK, as it always has for the rest of the market. ;D

[djcattlco]

Thanks for providing a copy of the B recpot.  Good read and will provide a great basis for comments/discussion.  :)

[Guest Bronco]

Here is my 2 cents on BRK:

 

Positives: 1) Warren Buffett 2) Great collection of assets with HUGE free cash flow.  The cash from the preferreds shares alone is awesome.  3) Best Balance sheet this side of Apple (don't even know what this means, but sounds good).

 

Negatives: 1) Law of big numbers 2) Valuation - it may be fairly priced but ain't the bargain it was at $80,000+, and 3) Buffett - if he leaves, what impact will it have on the stock/business/capital allocation.

 

 

I think BRK belongs in a portfolio for sure, and I love the business, but I prefer Loews because of the current valuations.  Similar styles in terms of keeping enough in reserves and being able to sleep at night.  I view BRK as more sophisticated in making decisions, but the Tisch's are no slouches either. 

 

Saw an article on LUK by Sham Gad - I like LUK but as I mentioned in the past, I get excited closer to $20 - $15.

 

Good luck to all.