The Value of Berkshire Hathaway

ADDITIONAL INPUT

You got to add to the fact that the businesses/investments he recently added are from cash reserve. In another word, the asset column should be deducted accordingly. sO YOU CAN'T SAY "PLUS THE ADDITIONAL BUSINESS..." I have had BRK when it was 20k. I got out after he started buying all these General Re & construction related. If you read his annual report, you'll find out the derivities from Gen Re needs 20 years to unwind. Plus he has invested in those toxic stuff (GE, Amex..). Don't forget he also invested in GE and many cyclical consumer stables. I personally have doubt on his timing, which he could improve in his trading system. He had good buys earlier days, such as Coke..etc. The best time to get into BRK again is the day he die. As he has said over and over. The market will continue to deteriote. If someone claimed to be expert of BRK, then look at the long term. One has to deduct the fact that BRK is a triple taxation stock, one from BRK, one from stocks as investments and on from you own tax return. As to thr railroad, I have reservation on his decision, once the Panama canal widens, his value will decrease relatively (again, long term). You also have to subtract his "Buffet goodwill" from your valuation.

Someone made over 2M with 3k of CA @ Dec 03, 2008 16:17:23 PM