Greg Abel Thinks Berkshire's Stock Is Cheap -- Is He Right? Here's the Math.
Berkshire just bought back $4.5 billion of its stock. Is it truly cheap right now?
Overview
Berkshire Hathaway (NYSE: BRKA)(NYSE: BRKB) bought back $4.5 billion of its own stock in the second quarter, its most aggressive pace of buybacks in several years. Unlike many other companies that buy back stock, Berkshire can do so only when CEO Greg Abel and Chairman Warren Buffett agree that the stock is trading below its intrinsic value.
Are they right? Is Berkshire truly a cheap stock right now?
Details
Of course, it's tough to do a full piece-by-piece analysis in a short article, but we can use the three main parts of Berkshire Hathaway's business to help determine if the stock is cheap or expensive.
Source
Originally published at www.fool.com.
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Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.