Value Investing 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.

Strategies & Market Trends : Value Investing

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: James Clarke who wrote (6322)	6/3/2010 7:57:21 AM
From: Walter Bagehot	Read Replies (1) of 78602

USG Looking at Buffett's holdings, he holds USG in Berkshire Hathaway as well: I am at a loss though to see what value he sees in the business. Does anyone else have any opinion on it. Sure, it looks like a crummy business, but I don't see any redeeming feature that would attract a value investor - only redeeming feature is the nil goodwill on balance sheet - Heavily lossmaking - Cashflow is poor - Debt-laden ($2bn) - Working capital is highly volatile My only guess is that he invested based upon the asbestos claims being less than feared, but has found the building products world more competitive and with higher cost inputs than previously expected (gypsum supplies from mining running low?) I'm fishing around Buffett's holdings to try to find certain characteristics that could give me an edge in stock selection, but I'm slightly at a loss on this one. Thoughts?

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next