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The week's question
In March 2025, in the thread "Re: OT, out", Umm asked the members: "Do you think it is because America is made up of magical soil that makes businesses based in America magically profitable?" This week it is put to everyone again. The button below opens the small thread re-asking it - read what others have said so far, then give your own answer as an ordinary reply.
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Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A)
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Author: Munger_Disciple ✭  😊 😞
Number: of 22353 
Subject: Re: Slightly OT: MKL for sale
Date: 02/06/25 2:47 PM
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Their intrinsic value calc eliminates the float liability entirely. Does it include deferred tax liabilities?

I don't know how to attach a file here but their calculation seems to take a multiple of 12 to "adjusted 3-year average operating earnings" which include investment gains in addition to underwriting income. Then they add equity securities' market value (from what I can tell w/o deferred tax liabilities), and cash; then subtract debt & minority interests. There seems to be a bit of double counting here (investment income for example includes dividend income from equities I think) and a bit aggressive as well as no allowance is made for deferred taxes.
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This community has written 21,861 posts about Berkshire Hathaway. The article-length ones it recommended most:
BRK: Why Not XOM? · 62 recs · 2024
Second quarter comments · 60 recs · 2023
Berkshire's Profit Contributors · 58 recs · 2023
Summary of 2Q 2026 · 55 recs · 2026
3Q Summary · 53 recs · 2024
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