2008 January « Enterprising Investor Forum

Berkshire’s 2007 performace Thursday, January 3, 2008

Posted by ei-forum in Miscellaneous.
add a comment

Despite mounting speculation on recent Berkshire deals and Buffett’s ability to sustain his track-record, 2007 has been a great year for Buffett & Co.

In a year where the financial lost over 20%, the housing market collapsed and commodities rose… Berkshire managed to outperform the S&P by more than 24%! Furthermore, this represents Berkshire Hathaway’s biggest annual stock price percentage gain since 1998: a 28,7% gain.

Again, Warren continues to prove that he is a timeless classic!

Which sector for best value? Wednesday, January 2, 2008

Posted by ei-forum in Investing.
add a comment

We were having a discussion on what sector presented the best value at this specific moment and instinctively, we thought of financials and maybe retail; however, we decided to turn to Morning* to find out what their analysis showed.

Well, apparently, 9 out of 12 sectors are under fair-value. Their favorites (trading at the biggest discount) are Consumer, financials, Media and Hardware: link.

However, we also feel that it may be an interesting time to start to look at the homebuilders. Due to the uncertainty surrounding the sector, one could attempt to gain exposure by opening an initial position in one of the indexes such as the Homebuilder Spider (XHB).

Please read our disclaimer.