But never forget: In repurchase decisions, price is all-important.
Despite focusing intensely on the notion of ‘intrinsic value’ through the letter, Buffet doesn’t mention the concept here.
Obviously, trading shares (investments) for liquidity (cash) is more attractive when their price is above what you believe their intrinsic value to be, and vice versa for prices below the perceived intrinsic value. Buffet’s said before he believes Berkshire’s stock is trading below its intrinsic value, and it’s surprising his liquidity advice implies selling this valuable asset at a discount.
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