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Strategies & Market Trends : Buy Berkshire instead of Vanguard S&P (BRKA) -- Ignore unavailable to you. Want to Upgrade?

To: Didi who wrote (204)	2/16/2000 5:02:00 PM
From: Didi	Respond to of 313

Esurance & Gen. Re + Schroeder's adt'l comment: .......... Esurance & Gen. Re briefing.newsalert.com ............... Berkshire Hathaway Shares Rise Second Day After Upgrade By Michael Nol Berkshire Hathaway Shares Rise Second Day After Upgrade Omaha, Nebraska, Feb. 16 (Bloomberg) -- Shares of Berkshire Hathaway Inc., the investment company run by billionaire Warren Buffett, jumped for a second day following an upgrade from a PaineWebber Inc. analyst. Berkshire Hathaway Class A shares rose 10 percent, 4,605 to 50,605 in midday trading, adding to yesterday's 6.7 percent gain. The shares had declined 23 percent this year before analyst Alice Schroeder raise her rating to ``buy' from ``attractive' yesterday. ``Once someone stepped up to the plate, the market took notice,' said Mark Trautman, who manages $60 million at Shay Asset Management. About 5 percent of his holdings are in Berkshire Hathaway shares. Schroeder wrote that investors who bought shares yesterday ``should reasonably expect to achieve returns of 15 percent to 35 percent over the next few years.' She said the shares were at their lowest level compared to the company's book value since 1983. Last year, Berkshire Hathaway shares fell 20 percent, their first down year since 1990. On Monday, they touched 43,000, a 28-month low. The shares were hit this month by rumors that Buffett, who will turn 70 this year, was ill. Concerns that the company might be sued by tobacco companies that want insurers to pay for settlements also pressured shares, analysts said. Berkshire Hathaway says Buffett isn't ill, and Schroeder said the company hasn't been named in any suits. Berkshire Hathaway, best known for its long-term stock picks, now makes the majority of its money through its operating units, including reinsurer General Re Corp. and auto insurer Geico Corp. quote.bloomberg.com

To: Didi who wrote (204)	2/18/2000 10:01:00 PM
From: Didi	Read Replies (1) \| Respond to of 313

Looking for a 'cheap' stock? PaineWebber makes value call on Berkshire Hathaway By Susan Lerner, CBS MarketWatch Last Update: 6:29 PM ET Feb 15, 2000 Analysts Ratings Market Pulse NEW YORK (CBS.MW) -- At first glance you might think it's a typo when you see a stock quoted at "$43,000." See it matched up with the word "undervalued" and you'd think someone's nuts. But we're talking about Berkshire Hathaway, an insurance conglomerate with other investments headed by famed investor Warren Buffett, so the picture begins to take shape. Telling clients that the stock is trading at its lowest valuation relative to book value in 17 years, PaineWebber analyst Alice Schroeder on Tuesday upgraded Berkshire Hathaway (BRK.A: news, msgs) to "buy" from "attractive" based on valuation. "We believe the stock is trading around 50 percent below intrinsic value," Schroeder said, indicating that "an investor who buys today should reasonably expect to achieve returns of 15-35 percent over the next few years." Schroeder acknowledged that we are in a momentum market in which valuation is often considered irrelevant and that the stock is likely to face continued selling pressure due to money flows away from value names and expectations of weak fourth-quarter operating earnings. But she said she believes the stock "is so compellingly priced that it simply overwhelms these factors." "Finally," Schroeder said, "we do not believe that Warren Buffett's ability to allocate capital has disappeared, despite the multiples currently being placed on revenue growth of technology stocks." Berkshire Hathaway shares moved up 2,900, or 6.7 percent, to 46,000 on the day. cbs.marketwatch.com