Stocks

[ah giten]

Warren Buffett announced today that his company sold 6 billion dollars in airline shares "at a loss"

My question is, where is he buying in to?

[ExGingi]

My question is, where is he buying in to?

Read Richard Russell's timeless piece "Rich Man Poor Man".

[Joel]

Warren Buffett announced today that his company sold 6 billion dollars in airline shares "at a loss"

Will this tank the airline stocks come Monday even further?

When the price will tank (if)
Good time to buy in.

[ilherman]

I got in on Friday... Hope it wasn't too early.

[mme]

I got in on Friday... Hope it wasn't too early.

I did the same

[miles lover]

Warren Buffett announced today that his company sold 6 billion dollars in airline shares "at a loss"

Will this tank the airline stocks come Monday even further?

I think that when he sold his airline stock below the 10% mark, in order for him not to be obligated to announce his tradings, the market understood that he will sell much more than what he announced. It will probably go down more on Monday, but not near what it would have gone down had he not been under the 10% mark.

[Lurker]

When the price will tank (if)
Good time to buy in.

You don't think he's getting out because the risk of bankruptcy is too big?

[mme]

You don't think he's getting out because the risk of bankruptcy is too big?

Aren't they getting bailouts?

[Lurker]

Aren't they getting bailouts?

That's not going to save them all when this is said and done.

[yaakov35]

You don't think he's getting out because the risk of bankruptcy is too big?

Absolutely not. He just think it's gonna take time to turn a profit.

[aygart]

Absolutely not. He just think it's gonna take time to turn a profit.

Time? He has always had very long time horizons.

[miles lover]

He’s too scared he will die and he won’t be able to show everyone how smart he was with this ?

[yaakov35]

Time? He has always had very long time horizons.

Years? Why is that so hard imagine. His statement was-
We will not fund a company that -- where we think that it is going to chew up money in the future."

[ilherman]

You don't think he's getting out because the risk of bankruptcy is too big?

Nah... He probably bought some other undervalued stock which he thinks will recover quicker..

[ExGingi]

https://ggc-mauldin-images.s3.amazonaws.com/uploads/pdf/TFTF_May_01_2020_2.pdf

See his comments about service businesses.

[Lurker]

Years? Why is that so hard imagine. His statement was-
We will not fund a company that -- where we think that it is going to chew up money in the future."

https://www.forbes.com/sites/sergeiklebnikov/2020/05/02/warren-buffett-sells-airline-stocks-amid-coronavirus-i-made-a-mistake/#6536b0345c74

“The world has changed for airlines,” Buffett said, noting that the industry has been “really hurt by a forced shutdown” due to the coronavirus.
...
“I don’t know that three, four years from now people will fly as many passenger miles as they did last year,” Buffett warned. “You’ve got too many planes.”

[ExGingi]

Nah... He probably bought some other undervalued stock which he thinks will recover quicker..

When was the last time he was afraid to own cash?

[haltkup]

Warren Buffett announced today that his company sold 6 billion dollars in airline shares "at a loss"

Will this tank the airline stocks come Monday even further?

Actually I think that this is positive news. The fear of him selling is gone now that he already liquidated his position. This explains why almost every sector rebounded in april (rational or not) with exception to energy and airlines which we know has gvt bailout protection. 6bn is a lot for mm to handle. I personally went heavy in JETS etf the week after pesach and with the news I adjusted my trailing stops for the possibility of increased volatility

BTW: Warren is out of airlines for other reasons than bnkrpt probabilities.

[Lurker]

BTW: Warren is out of airlines for other reasons than bnkrpt probabilities.

Can you elaborate? I'm not doubting it, just genuinely curious.

[yaakov35]

https://www.forbes.com/sites/sergeiklebnikov/2020/05/02/warren-buffett-sells-airline-stocks-amid-coronavirus-i-made-a-mistake/#6536b0345c74

You literally proved my point. Am I missing something? Never mentioned bankruptcy