helplessobserver

Fuld's Miscalculation: Were Berkshire’s Infusion Terms “Too Much?”

On TV Fuld looks more like a mafia enforcer than a top level investment bank CEO. Despite monstrous troubles he failed to cut his losses and get capital regardless of the cost.

Berkshire Hathaway Class B Shares Attractive Here

Soar with the Eagle, otherwise you may be the road kill the Eagle swoops in on at bargain prices. Wow, who would ever thought GE would be road kill?????

Does Warren Buffett Think Goldman Is More Creditworthy Than GE?

When companies like GE exhibit desperate actions like paying huge interest rates and diluting existing shareholder, things are bad, bad. We will soon know why GE stock has sunk from 43 to 23 and I expect will be heading lower before this is all over. If things are as bad as GE sees them there is no hope for Ford, GM and Chrysler.

Buffett's Battery Buy

Only those who believe in miracles think electric charges can be harnessed to provide energy to power automobiles. Moving a car from Point A to B requires a large amount of energy. For example a gallon of gasoline contains 130,000 Btus. If this gallon moves the car 25 miles the energy used, and lost is 5200 Btu per mile. Now a kilowatt equivalent is about 3000 Btu, so any battery needs to supply about 1.72 KW per mile. We know a lot of heat is lost in a internal combustion engine, so we can reduce the 1.72KW to 1KW per mile. Gentlemen, over 200 miles this battery needs to provide 200KW of energy from its limited chemical sources. Natural gas and propane which have large heat contents are the fuels we need for automotive use.

Buffett and Goldman: Damn That Guy Is Smart

Why not just invest in BRK.B and soar with the Eagle.

Warren Buffett on Goldman Sachs and the Financial Bailout Package

Wow, Constellation Energy for 25 cents on the dollar and now a big piece of GS the Cadillac of the investment world. Soar with the Eagle, be careful you don't become Buffet's road kill meal.

Berkshire, GE, Anhueser Busch: Stick With The Best

Your recommendations meet the stock adage buy "quality, quality and quality". Buffet's move into bond insurance is a master stroke of investment genius. He will pick off this slow growth but steady earning industry and tuck it neatly into his other businesses. Yes, soar with the vulcher, don't become road kill.

Is Berkshire Hathaway Worth More Dead or Alive?

Years ago an accountant told me that retained earnings were a millstone around management's neck. If gross margins are 50% investors demand the new cash also be invested to earn 50%, something that usually is difficult to do in a mature industry. Put the cash aside at 5% and watch the PE decline. Usually Wall Street cowboys spot these situations, come in and destroy the company while enriching themselves. Personally I think Briggs and Stratton at $20.00 looks good for a recovering economy in 2009.

My Take on Fortune's Best Stocks for 2008

St. Joe peaked out at 80 and now is in the low 30s and it still has 800K acres of Florida land bought in the 1920s at $2.00 per acre. Over priced then, underpriced now.