This portfolio is an analysis of Buffett’s portfolio, not mine.

Also, don’t trust the S&P. They have no idea what is going on with INSM.
But here is the news that leaked out.
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=46695692
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=46820292

I also believe that Merck is very interested in INSM. While INSM have insinuated that they prefer a reverse merger, with the way things are going and how Merck is mentioning INSM in their conferences, looks to be a great opportunity.

I thought I would take a chance on Insm when you went in at 0.85
(as a newbie)

The price is now 1.05 with a target price of $2.00 (I think I saw in S&P)

I do not see it in your portfolio here. Do you still have it.

What has attributed to the raise in price other then possible lift from being a health stock and having good cash position to keep it going.

I like your approach to stock investing and read every thing I can find on Warren Buffet.

Keep writing those great articles,

they are very good.
Thank you,

Frank

When I compared my DCF with the Quicken one using the same growth rate of 8.93%, starting with a FCF value of $5.8b, but I used a 9% discount rate as I do for all stable blue chips, I get a DCF intrinsic value of $42.75.
Compared to Quicken’s $42.45 it is the same.

Now my question is do you expect to get a 15% or 9% return from KO annually?

You can see the full analysis here: it is free to register (you can enter whatever info. you want as there is no email check):

http://investing.quicken.com/research/evaluator.asp?symbol=ko

Since the Graham formula uses earnings, it is likely to be higher.

If we assume initial earnings of $5.8B grow at a rate of 10.28%, and we discount those future earnings at a rate of 15.00%, we arrive at IV of $47.06. To account for potential earnings beyond the 10th year, we estimate a growth rate of 6.00%, a discount rate of 12.00%. (using quicken.com valuation tool)

Write up requests in the forum section. It’ll make it easier to track and keep it focused.

Jae, I feel so lucky that I found your website through another investment blog. What can I say about your investment spreadsheet toolkit? one word: brilliant!

@KenC,
I’ll take your word for it

@4cinvestor,
Thanks. I didn’t compare the stock value holdings to the total book value but considering how many companies make up Berkshire, especially Geico, it does seem like a small portion.

Buffett also has a lot of derivatives and other investments that are listed in the 13-F which would have added to his performance.

Excellent Work.

BTW, did you notice that in BRK, stock picks has only around 19% of the total book value ( check 2008 annual report)?

This can mean that the value of BRK should not be strongly impacted by those public companies performance.

I have read so many Buffett related books and articles I can’t tell you specifically where I read it. But I believe it to be a pretty well known fact that Geico is the only part of BRK that does its own capital allocation. I will see if I can dig up an precise reference.
.-= KenC´s last blog ..Buffett: Don’t hate the player, hate the game =-.

I agree that Simpson is the purchaser of CarMax but didn’t know that he was the only one allowed to make individual investments. Will have to look into that.

Thanks.

@ Davy,

Just giving a fellow investor and site where I get ideas due respect.
I looked Seth Klarman’s positions yesterday and wasn’t surprised to see there wasn’t much action taking place in the last quarter.

Will have to read up on Einhorn considering he sold his gold positions.

Thanks for the shout out. Funny enough, I cover all the big names except for Warren Buffet; Berkshire’s 13F is formatted differently than everyone else’s and I’m too lazy to do it manually. Besides, sites like Old School Value have the Buffett tip well-covered. Like Munger says, I’ve got nothing to add.

I have to second the positive comment on the site redesign — it looks fantastic!

Great post, too, btw. I’ll have to take a look at BDX.
.-= Davy Bui´s last blog ..Seth Klarman, Marty Whitman & David Einhorn 2009 Q2 13F Filings =-.

Appreciate the comment. Thanks!

Very good job Jae Jun. Keep going!