Berkshire Hathaway Technical Sell Signal

Berkshire Hathaway has traded in line with the overall market through the latest bull market. Technically the Stock has been flagged with this bearish signal and if this flag plays out to the downside the overall market may be headed lower as well.

Berkshire Hathaway death cross. pic.twitter.com/xtabEYyrSd

— Joseph Weisenthal (@TheStalwart) June 5, 2015

Wednesday, April 29, 2015"Gold is Only Answer" Fred Hickey Tweets "Stock Market is Toast",

Making Money When the Market Heads Lower

A Warren Buffett Quote About Cash Flows

Every year in the Berkshire Hathaway Inc.(NYSE: BRK $213,725.00) annual reports, chairman Warren Buffett shares his investment philosophy and strategies.

I recently went through each annual report since 2000 and did a search for the phrase "cash flow".
Each report averages about 20 pages and after searching 15 reports the phrase "cash flow" only was found once. (in 2000)

6/1/2000

Warren Buffett, Chairman of Berkshire Hathaway: click to  <2000 Annual Report:

"Common yardsticks such as dividend yield, the ratio of price to earnings or to book value, and even growth rates have nothing to do with valuation except to the extent they provide clues to the amount and timing of cash flows into and from the business. Indeed, growth can destroy value if it requires cash inputs in the early years of a project or enterprise that exceed the discounted value of the cash that those assets will generate in later years.
Market commentators and investment managers who glibly refer to growth and value styles as contrasting approaches to investment are displaying their ignorance, not their sophistication. Growth is simply a component--usually a plus, sometimes a minus-- in the value equation."

Berkshire Hathaway Shares Make New High $201,204

Five Largest Public Companies by Market Capitalization

• Apple Inc (NASDAQ: AAPL $97.50)         $583 billion market capitalization
• Exxon Mobil (NYSE: XOM $99.09)           $422 billion market capitalization
• Google Inc (NASDAQ: GOOG $574.65)    $388 billion market capitalization
• Microsoft (NASDAQ: MSFT $44.27)         $364 billion market capitalization
• Berkshire Hathaway (NYSE: BRK.A )      $324 billion market capitalization

Equities Research Upgrade Cooper Tire Acquired

This morning the 100 year old company Cooper Tire & Rubber Company (NYSE: CTB) announced it will be acquired at $35.00 a share.

Stockdiagnostics upgraded CTB @ $13.18 (dividend adjusted) on February 14,2007 after the company reported 4th quarter financials for the period ending December 31,2006. Since the upgrade 6 years ago shares have appreciated 157% vs 11% for the Standard & Poors 500 index.

Equities Research  upgraded CTB @ $19.05 (dividend adjusted) on August 14,2007 after the company reported 2nd quarter financials for the period ending June 30,2007. Since the upgrade 6 years ago shares have appreciated 78% vs 14% for the Standard & Poors 500 index.

click to Equities Research Upgrade and Stockdiagnostics Chart


IN APRIL 2013 
H.J.Heinz Company (NYSE:HNZ) announced the approval of its acquisition by Berkshire Hathaway (NYSE: BRK) at an all time (28 year) high @ $72.50. Stockdiagnostics upgraded HNZ @$34.24 (dividend adjusted) on August 25,2009 after the company reported 1st quarter financials for the period ending July 31,2009. Since the upgrade shares have gained 112% in 44 months. (22% annualized total return)
<click to HNZ Stockdiagnostics OPS chart
<click to HNZ GFNN news story


Click to 55 Stockdiagnostics Upgrades Acquired in 2012

Click to learn more about Upgrades and Downgrades

Order the June 2013 Equities Research Newsletter here

**Warren Buffett, Chairman of Berkshire Hathaway:2000 Annual Report:

"Common yardsticks such as dividend yield, the ratio of price to earnings or to book value, and even growth rates have nothing to do with valuation except to the extent they provide clues to the amount and timing of cash flows into and from the business. Indeed, growth can destroy value if it requires cash inputs in the early years of a project or enterprise that exceed the discounted value of the cash that those assets will generate in later years.
Market commentators and investment managers who glibly refer to growth and value styles as contrasting approaches to investment are displaying their ignorance, not their sophistication. Growth is simply a component--usually a plus, sometimes a minus-- in the value equation."

Warren Buffett's Berkshire Hathaway Purchases Newspaper

As I said earlier this month in this blog, Content Publishers are very good investments long term especially those that are selling at deep discounts. Warren Buffett, who already owns The Washington Post,  announced today he is buying publishing company Omaha World-Herald and several other daily and weekly papers in Nebraska and Iowa.

click to read today's Wall Street Journal report