Hi, Shrewd!        Login  
Shrewd'm.com 
A merry & shrewd investing community
 Best Of BRK.A | Best Of | Favourites & Replies | All Boards | Post of the Week!
Search BRK.A
Shrewd'm.com Merry shrewd investors
Best Of BRK.A | Best Of | Favourites & Replies | All Boards | Post of the Week!
Search BRK.A

Stocks A to Z / Stocks B / Berkshire Hathaway (BRK.A)
Unthreaded | Threaded | Whole Thread (5) |
Author: rrr12345 ✧  😊 😞
Number: of 12535 
Subject: IV by the repurchase method
Date: 11/04/2023 2:16 PM
Post New | Post Reply | Report Post | Recommend It!
No. of Recommendations: 11
Warren's conservative estimate of IV can be inferred from his stock repurchases. Berkshire makes fewer repurchases when the P/B is higher, and it has paused repurchases altogether when the P/B is too high, as in April and May of 2022. The highest price/beginning book for the quarter that Warren has paid is 1.49 (which he paid in November 2022), and the highest price/ending book for the quarter that Warren has paid is 1.51 (which he paid in September, 2023). Warren has said that he would not repurchase stock at a "mere" 5% discount to IV, so his repurchase at 1.51 times BV implies an IV of at least 1.59
Post New | Post Reply | Report Post | Recommend It!
Print the post
Unthreaded | Threaded | Whole Thread (5) |


Announcements
Berkshire Hathaway FAQ
Contact Shrewd'm
Contact the developer of these message boards.

Ticker or Board Name Author

Best Of BRK.A | Best Of | Favourites & Replies | All Boards | Followed Shrewds