Thanks, but I'm not sure that makes it clear? Would munger be selling byd if he lived in a cap gains , tax free state?

Munger pointed out that he already sold some of DJCO's BYD shares for "prices higher than the current price," which was well covered at the time by expert DJCO portfolio sleuth wabuffo (primarily on twitter now but many here will remember Bill from the old boards). (his macro / money supply analyses are well worth keeping up with)

So even with the California state tax layered on, Charlie was still a seller at that price.

Buffett or Abel are selling some of the BYD in Berkshire Hathaway Energy on valuation. Maybe they will sell it all, maybe they are only reducing the size of the position. Maybe they need the money to repurchase Walter Scott family estate shares, who knows.

Charlie was quick to point out that it was over 50x earnings and it was not a cheap stock.