Berkshire Hathaway Class B Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : Berkshire Hathaway Class B

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Benkea who wrote (1303)	1/25/2000 2:25:00 PM
From: Jacques Newey	Read Replies (1) of 1652

Benkea - "This is why BRK does and should trade at a multiple of book." Sure! I suppose there are not too many (attractive)companies around that trade at less than book value these days. A few years back I received Value Line. They used to have a section called " Low Priced Stocks" which listed stocks with low P/B's. The companies listed were steel co's, utilities, restaurants and the like, Cigar Butts I suppose. Based on what you say, BRK seems to trade at a very low P/B. And as you say, book value is VERY conservative, especially when compared to other stocks in today's market. What is BRK's P/B now? 2 - 3? How does BRK's P/B compare now to what it has been historically? Regarding Margin of Safety (BRK's IV vs. BRK's Price): When you estimate BRK's intrinsic value at $60,000/share, do you apply "safety factors" in your arrival at that number? In other words, do you purposefully and consistently err on the low side when estimating per share value. I'd be interested in hearing your thoughts on this, realizing this may be a somewhat personal question. Thanks for the taking the time to reply. I'll check out the site you posted. Regards,

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next