Fairfax Financial

FFH-T

It is trading at a really good level. The risk/reward is pretty good. Their compounding growth had been lacking compared to earlier periods but right now everything is lined up. (Analysts’ price target is $752.89)

He admires the company. The problem the market has is that the earnings can be so erratic. In the latest quarter they had some non-cash gains due to consolidation. The value of the stock will follow the underlying book value of the company which has continued to climb over the years.

(A Top Pick Jul 23/18, Down 15%) It's an India play. He's owned this a long time. A well-run company. He's been buying the dips; now is the best time to buy this. Their insurance business boasts strong combine ratios. American insurance companies trades at 1.6x book vs. FFH trading below book value. They have big investments in India and globally. They have other direct investments in India, and he's confident about that country's long-term. Now is the best time to buy FFH in 10 years.

The chart has big swings but definite patterns. It will likely reach low-$700's again. Great to own for the coming year. (Analysts’ price target is $762.34)

It's well-run. Their insurance side has improved a lot and is more profitable. Their investment portfiolio has been challenging in the last two years, but their long-term record is exceptional, so he has faith in it. The stock is trading close to its book value and the lowest in 7 years. He expects its coming quarter report to be strong, because their investments like BlackBerry have moved up a lot. (Analysts’ price target is $756.20)

You had a sharp move in 2015 and it has been flat since and is at the lower end of that range since. It is heading to the 2010 level of $300 during the next recession. He likes the company and management but there is more downside than upside due to market conditions.

(A Top Pick Jan 24/19, Down 1%) It's a hedgy stock. He likes it as a longer-term trade. The chart shows big swings. It bottoms around $600 and believes it can top $700, as it has in the past. His target is $700.

Prem Watsa can do not wrong. This has been built on the backs of the financial sector over the years. However, he owns Fairfax India. As a long term strategy he prefers Fairfax India. Currency wise, anything in Asia should do well. Growth potential in Asian financials should be exponential over the next few years. Better growth market with the India play.

Their core P&C insurance business has improved in recent years. They now have a lot of cash. You're betting on Prem Watsa's investing acumen who will put that capital to work. Trading close to book value for the first time in six years. (Analysts’ price target is $748.46)

Problem is we don't know what Prem's doing until he does it. Some things work, and some don't. Has always had difficulty figuring out what's going on with this company. It's supposed to be an insurance company, but it's not really. You're buying Prem, if you buy the company. He likes Prem, but if they can't value the company, they can't own it.

He owns a lot of their debt. But he'd rather invest in Warren Buffet than Prem Watsa. WB is a better buyer/investor overall.

(A Top Pick Nov 01/18, Up 0.4%) Insurance. Very much like a mutual fund. Trading in a pattern. He is comfortable with it. He thinks they will be out at the $700.

He is looking for a rebound. Total rhythm to the stock. Interestingly diversified company. (Analysts’ price target is $749.72)

Will it break out of the trading range of $5.50-7.70? You're buying Prem Watsa when you buy this. Prem has done some brilliant things, and other things that weren't. He's not Warren Buffett, though. He's not attracted to the underlying businesses.