Halls of Shrewd'm / US Policy❤
No. of Recommendations: 0
(S&P -0.1%, BRK +0.85%)
.... honestly, no idea 😉
No. of Recommendations: 0
Actually, though OT I think much more interesting than whether Berkshire is strong or weak today is that and why Alphabet is very weak. Last week's ruling that Google's search dominance violates antitrust laws and the Justice Department supposedly thinking loud about breaking off parts of Google like Chrome or Android might not be interesting for Berkshire, but is for other tech giants as well.
No. of Recommendations: 0
brk has certainly traded suspicious higher? I sure wish Uncle had authorized buybacks at, material discounts to IV, in 2007, and I sure wish brk had the right of first refusal on all Foundation sales since 2006. Oh well. Better late than never.
No. of Recommendations: 11
FWIW, I added to my Alphabet position last Monday.
It's true that the government is going after them for abusing monopoly power. But hey, that's a nice confirmation that they have a very profitable monopoly! Historically investments in firms that are targeted by antitrust actions do well on average, even if they are broken up and you hold all the pieces. Of all the bad news that can befall a company in which you own stock, this is far from the scariest, statistically.
I think the risk of an investment at current levels (GOOGL at $159.57 as I type) is more that the stock is still not actually cheap, at least not without having some modest optimism about higher future business profits. Which I do, but it's worth remembering: I don't see a margin of safety in the price, only in the business model. It could get a lot cheaper at some point, and it could stay fairly cheap for a while.
Jim
