Aug. 21 at 10:19 PM
$OZK No denying Buffett's prowness of his original partnership. 1956-69; Pure stock picking. Compounding at 26% ish.
After disbanding Berkshire became a conglomerate. Buying outright OR majority interest. Harvesting excesse cashflow (not plowed back) and parked in Coca Cola, Gillette, American Express, whatever.
From 1999 to 2003, BRK was essentially flat with NO dividend. A rising tide from 2003 lifts all boats. More recently BRK has returned 8% in last year. Not worthy of risk capital.
In spite having
$340 billion in cash equivalents, Warren (or his minions) do hold some stocks. One is Moody's.
A credit rating agency that downgraded OZK. It's what called my attention to this.
Under-valued. over-valued. Means nothing to me. Price movement does. Or in this case, the lack of it .......for a decade.
Whatever Treasuries bought in the 1% era are indeed carried at cost not market. Underwater. Woefully so. Yeah par at maturity but 1% in a 4.5% world while they wait.
Bye bye.
