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The Intrinsic Value Podcast - The Investor’s Podcast Network

MI204: Intrinsic Value Analysis of Berkshire Hathaway (Mini-Episode)

The Intrinsic Value Podcast - The Investor’s Podcast Network

The Investor's Podcast Network

Business, Education, Investing

4.6592 Ratings

🗓️ 6 August 2022

⏱️ 20 minutes

🧾️ Download transcript

Summary

IN THIS EPISODE, YOU’LL LEARN: 02:26 - The method Clay uses to determine the intrinsic value of Berkshire Hathaway. 03:56 - What adjustments are made to Berkshire’s stock holdings. 07:28 - How you can think about valuing Berkshire’s wholly owned businesses. 14:25 - Whether today’s price is a fair price to pay for the company. And much, much more! *Disclaimer: Slight timestamp discrepancies may occur due to podcast platform differences. BOOKS AND RESOURCES Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Kyle and the other community members. Watch to Stig Brodersen’s conversation with Adam Mead here. Listen to Robert’s conversation with Adam Mead on Millennial Investing here. Follow Clay on Instagram. SPONSORS Support our free podcast by supporting our sponsors: Fiscal.AI Connect with Clay: Twitter | Instagram HELP US OUT! Help us reach new listeners by leaving us a rating and review on Apple Podcasts! It takes less than 30 seconds and really helps our show grow, which allows us to bring on even better guests for you all! Thank you – we really appreciate it!  Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm Learn more about your ad choices. Visit megaphone.fm/adchoices Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm

Transcript

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0:00.0

You're listening to TIP.

0:02.7

Welcome to the Millennial Investing Podcast.

0:05.0

I'm your host, Clay Fink, and today is another release of our many episode series that we send out to you all every Saturday.

0:11.9

This is the episode where it is just me diving into a specific topic to help you become a better investor.

0:18.1

On today's show, I'm going to be discussing Berkshire Hathaway and what a fair

0:21.8

value of the stock might be today. Hope you enjoy it. You're listening to Millennial Investing

0:27.9

by the Investors Podcast Network, where your hosts, Robert Leonard and Clay Fink, interview successful

0:33.8

entrepreneurs, business leaders and investors to help educate and inspire the

0:38.7

millennial generation.

0:45.7

Just over a year ago, Stig Browderson had Adam Mead on our YouTube channel to walk through

0:51.5

an intrinsic value assessment of Berkshire Hathaway. So during this episode,

0:56.0

I'm going to be walking through one of the methods that Adam used to value Berkshire and update

1:02.5

some of the numbers for 2022 to see what we come up with for an intrinsic value for Berkshire

1:08.0

Hathaway today. I'll be sure to link that conversation with Adam and

1:11.8

Stig in the show notes for those that are interested in checking that out. Adam was using numbers

1:17.3

as of Q1, 2021, and I'll be using the most up-to-date numbers at the time of this recording, which is

1:22.9

Q1, 2022. Before we dive in, I wanted to say that there really is no one way to estimate the intrinsic

1:30.2

value of Berkshire or really any company for that matter.

1:34.0

One stock analyst is very likely to come up with a different value of the stock than another

1:38.9

analyst.

1:39.9

So it's important to really understand the company, understand how you can come up with a conservative

1:45.0

valuation, and think for yourself on whether that method is appropriate or not for determining

...

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