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Non-Tech : Berkshire Hathaway Class B

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To: wzuellig who wrote (601)3/1/1999 1:09:00 AM
From: Michael & B.Anne  Read Replies (2) of 1652
 
Lets put a marker March 1: NASDAQ at 2288.03 ...
BRK.A at $71,000 ... I am betting on BRK ... and I get to
sleep nights and do not need a real time ticker service.)

In response to your observation:

"However, if you can deal for $ 8 or 7 over the net and clear a few
percentage during the day, why should this folk invest in a long-term
proven proposition such as BH where it takes so much money to buy
only one share."

Have you ever been out at a picnic when all of a sudden
the birds stop birding and crickets stop cricketing and
things start to get quiet and a bit cooler ... and you know
it is time to head for the car."

The high tech sector is like that now .. with values going
super high and earnings projections tapering off:
- Yahoo has a market value higher than Boeing
- Compaq is starting to lag (why did they ever buy digital ?)
- worries and results from Dell that have caused Dell to state they
can not make margins sufficient on systems costing over
$1000 so they will move to lower cost and make up for it
on volume (the death cry of every previous powerful system
builder.)
- HP releasing sobering forecasts
- Microsoft appearing to lose the public side of their trial
- the Asians are retooling with immense very optimistic
investments from firms like GE salivating at the outlook.

And the real darlings of the Tech Sector (.coms) are
loved and bought on with decreasing volumes based on
projected earnings several (sometimes 20) years out).

regards

but then again I am very biased .. I have never seen BRK
at such a discount ... We are early 50's retired and if we
did not have ground rules to assure we should never have
to return to the high tech lands we come from .. I would
mortgage the house for BRK right now.
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