Fairfax Financial (FFH.TO)

An outlier in the Canadian market, as it's performed well for quite some time. Like a Brookfield Lite. Nice chart, solid holding. Have to be careful, as it's done so well. Typically, you want to buy winners (and sell losers). Expensive, but for a reason.

Don't chase on the recent runup. Better value to be had out there. But overall, a good name.

A shoer-seller's report in February created volatility, but they are a quality insurer operating globally. Their underwriting profits continue to grow, which they invest to benefit from higher rates. He continues to add to this and has owned it for a long time.

Company performing very well. Latest quarterly results very strong. ROE is very high. Selling at modest premium to book value. Good long term investment. Excellent management team with Prem Watsa. 

Great company. Hard to argue with an uptrend. Again, it's arced up above trendline. Wouldn't be surprised by a pullback. If it gets closer to trendline, he'd be all over it. But if breaks down below the last low, probably means the uptrend is over and he's out.

There was some discussion about the Muddy Waters claims, including accounting irregularities, and shorting of the stock. This is not a real worry to him and in fact he may buy more. We'll hear from management this week.

Huge move. Good numbers. He forecasts 10% EPS growth. Short-seller today cited accounting irregularities, probably being unfair. Don't buy today, wait for ricochet effect to die down.

Huge move. Good numbers. He forecasts 10% EPS growth. Short-seller today cited accounting irregularities, probably being unfair. Don't buy today, wait for ricochet effect to die down. Probably another 10% down from here.

Regrets not buying shares earlier. Very good management team with Prem Watsa. Value oriented business with very good track record. Excellent for long term investors. Property/Casualty business' are in sweet spot of cycle. Earnings expected to be volatile, but overall a good business. 

Their insurance business has been tremendous, with a combined ratio in the mid-90s. CEO Prem Watsa has astutely managed capital. He's consistently increased book value. But the PE is high now.

Excellent management team. Strong value oriented company. Bond portfolio very strong. Higher interest rates good for business. Organic expansion in underwriting business very strong. Current valuation still cheap. Would recommend buying even now. 

It is not trading at a premium to its book value. It is doing well on the insurance side. Its investment side is pure value stocks so it is not doing as well as Berkshire. There is growth potential.

FFH is a bet on Prem Watsa. FFH was in the wilderness for a while, but has returned to nice levels. Watsa has made some smart bets. Also, insurance premiums have gone up, and he makes money on his investments. But the company is hard to analyze.

A higher-for-longer trade. Insurance markets are getting sales growth, and on top of that reinvesting premiums at the highest part of the interest rate curve. Doing exceptionally well from interest income, and very nice to have in your portfolio to offset higher rates. Yield is 1.08%.

Trading at a historical price-to-book discount. Over the next couple of years, a great opportunity for the stock to do well.

They continue to make deals and acquisitions. Their private equity portfolio has been hit and miss, but their $30 billion portfolio of policy reserves is rocket fuel (largely invested in short/medium-term corporate bonds, which are yielding 3-4x what they were in previous years). Strong cash flow and income.

P&C insurance is doing very well, though this year is tougher than most because of catastrophic losses. So they raise their prices. One of the lower combined ratios in the space. Benefits from higher interest rates. Outlook is for double-digit returns over the next several years.