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No. of Recommendations: 11
Operating earnings from non insurance businesses grew only 3% in favorable conditions. That’s barely above GDP. Is this what we can expect from these businesses going forward? Are they, in total, a slow to no growth business matching GDP growth? If so, only a game changing large acquisition of a growth business will move valuation higher.

Long discussion on importance of retained earnings in investment returns. Hint, no dividends are coming anytime soon and as long as Buffett is CEO.

Charlie and Warren don’t believe shares are significantly below intrinsic value. At least not enough for them to launch a significant buyback. Most estimates I have seen of intrinsic value are in the range of 1.5 - 1.6 PB. With stock currently at 1.31 PB, Charlie and Warren apparently have a lower range of intrinsic value, maybe 1.35 - 1.4.
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