weiwentg

Berkshire Decreases Moody's Stake: Smart Investing or Payback?

I don't buy the conspiracy theories. Buffett said much earlier in the crisis that Moody's intrinsic value had declined, perhaps substantially. I only wonder why he didn't trim his position earlier.

Buffett: Still Misunderstood After All These Years

He was criticizing hedgies for taking risks with OPM. They basically dupe others into investing and take huge fees whether or not they actually make money. In contrast, Berkshire is investing its own money, earned from float. Not quite the same as OPM.

Even Warren Buffett Has 'Issues'

The comment above is a little harsh, but the fact is that none of the downgrades of Berkshire have anything to do with Buffett's investing acumen. He's still good. In Berkshire, he's put together an insurance conglomerate that is still going strong. I don't think his equity investments did markedly worse than the S&P and they're only a portion of Berkshire's holdings.

Berkshire Hathaway: Climate Change Impacts Insurers

Under Obama's budget proposal, most of the funds from permit auctions are rebated to consumers through the making work pay tax credit. Under these circumstances, regulators would be more inclined to allow reasonable rate increases.

If I recall correctly, Berkshire's annual report noted that Midamerican had made significant investments in wind energy. They will raise their rates less than other utilities who have not made alternative energy investments.

Buffett's Latest Headache: U.S. Bancorp

I'm not familiar with Bespoke either, but I can't say I'm impressed. They talk only about price without delving into the underlying performance of US Bancorp.

The bank had a rough quarter, but they experienced deposit and loan growth. Their credit metrics didn't deteriorate as fast as their peers. If any one of Warren's major holdings has headaches, it's American Express or Wells Fargo - and even those two have very strong underlying businesses.

The Sears Mistake

Warren holds cash when he can't find compelling values - meaning that he will be in a position to take advantage if the market stumbles or a particular company stumbles.

As to Sears, if Eddie plans to keep it as a retailer, he's running the place into the ground. He's trying to run a retailer like a hedge fund and failing. Ironically, I'm effectively long Sears because of a large investment in the Fairholme fund, which trusts his leadership.

Three Stocks We're Long With High Conviction

Tilson runs a hedge fund. He's not obligated to tell non-owners when he purchases stocks. You can buy into Tilson Focus, his mutual fund, if you like. In fact, it's doing relatively well this year, having only lost about 15%.

WaMu Shows, Again, Smart Money Can Be Wrong

FYI, Bill Nygren finally learned his lesson and sold out of Wamu in Oakmark, Oakmark Select and Oakmark Global Select. There's a brief announcement on the website with a promise to explain his reasoning further in the coming shareholder report.

I'm using tabs in Firefox. The page was titled "A Message on Washington Mutual". I have a number of tabs open, and I saw "A Mess..."

Buffet Scoops Up an Energy Casualty

Is there anyone who will take me up on the following bet: under Berkshire, Constellation will eliminate its trading division.

Fairholme Fund's Stock Picks: XTO, SHLD, BRK.A, WCG

probably no one is going to read this article by now, but Bruce disposed of his holdings in Progressive. he's been buying more Saint Joe (JOE).

American Express: Watch the Dividend

George, BRK.A does not and has never paid a dividend. Buffett has said that he would prefer share buybacks, as they are more tax efficient. He also believes that Berkshire would best make use of its cash by holding it for acquisitions and investments. I'd like them to pay a dividend someday, but I don't think he'll do that as long as he lives.