Rohan

Comparison to Berkshire Hathaway Shows Sears Has Hope

It's not like Todd is going out on a limb here, guys. I think it's a fair analysis. No two situations are going to be exactly alike and maybe it requires a bit of creativity, but there are plenty of similiarities.

Al Rob says definitively that Sears is not the next Berkshire. Marty Whitman has expressed the opposite opinion in the past (hopefully that HTML link came through, it's the 2004 Business Week article on Lampert that you can Google): "There is no question [Lampert] will turn Kmart into an investment vehicle like Warren Buffett's...that's what I am valuing into the stock." Marty made a boatload of money and got out, which he explained in the 2005 3Q letter as follows: "At the prices Sears Common is now selling, the company has to succeed in a big way in order to justify these prices." So it was a valuation call.

Al, regarding the fact that you've made money shorting SHLD, if you actually read Todd's article you'll see he notes quite clearly that even BRK has declined significantly over certain stretches. So what? You want a cookie?

Regarding AZO and AN not becoming mini-Berkshires, I don't think I've ever heard anyone suggest that was his goal with either of those.

As for FIG trader, you aren't particularly imaginative, either. Saying Todd's missing the point of Buffettology is idiotic. Once again Todd clearly pointed out BRK's purchase of Nat'l Indemnity in the spring of '67 in order to get access to the float.

Perhaps your opinion is that Lampert simply cannot accomplish anything resembling a float within Sears (buying an insurer himself with the cash once he's revitalized SHLD a bit?), and sure, that's debatable. But the argument isn't remotely a checkmate in your favor. There remain avenues for Lampert to generate cash through SHLD, so it's not like this story is over, which you guys seem to think.