Tilson on BRK IV

FYI- Whitney Tilson (in his Empire Financial update) just shared his projected BRK IV 12 months from now of ~$600K.

Assumptions and methodology:

Current IV $523K (2 column method)
Plus 8% annual IV growth in the business
Plus 3% buybacks
Plus $10K/share cash build over next 12 months

He sees BRKA trading currently ($421.8K) at a 24% discount to his current IV, P/B-1.2, using BV- $352K.

Well aware it is simplistic vs. other preferred approaches but thought I’d share his current thoughts & projections.


So the IV growth exclude growth in cash?! and the buybacks don’t cost anything?! still cash is going to grow at 10K per A share!!!