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Based on this table I wouldn't sell out of Berkshire at (the valuation level corresponding to) 1.55 or 1.60.
But I would not have an oversized position, nor expect much joy in the short run. No call options.


Not a time to purchase, but maybe a good time to sell some long dated calls (~18 months).

Don't know if the premium would be similar at 1.55 P/B?

Current
~10% OOTM (which exceeds expected return at 1.55 P/B)

BRKB230120C00280000 2021-03-05 3:32PM EST 280.00 21.60 20.00 22.70

Assume you sell at 20.00 (This may be a horrible assumption?)

Could have several results:
1) Price drops...close position pocket some % of premium (maybe use it to buy some calls :) )
2) Expires ITM, sell shares at > 10% CAGR (including options premium...much higher than anticipated)
3) Expires OOTM
4) Accidentally sell PUTs and loose my (and kids) shirts :(
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