Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Berkshire Hathaway's bid to buy Lubrizol
So what: Exactly. "So what?" Just because Warren Buffett believes Lubrizol is worth 12.3 times earnings doesn't mean NewMarket is worth that much. But it's probably no coincidence that this is almost precisely the price investors are now paying for NewMarket in the wake of Lubrizol's news.
Now what: Time for a logic check, folks. If 12.3 times earnings is the "right" price for chemicals concerns, this would imply that DuPont
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Berkshire Hathaway is a Motley Fool Inside Value selection. Berkshire Hathaway is a Motley Fool Stock Advisor pick. The Fool owns shares of Berkshire Hathaway. Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors.