Warren Buffett in Israel

In this video clip, Warren Buffett comments on the security of investing in Israel, the nature of his Iscar purchase, and his views on capitalism.



All in all a very revealing video. It is clear that Buffett has left his footprint on the country of Israel - both as a statement of his faith in its long-term security prospects and as a boost to its overall economy.

His purchase of Iscar Metalworking was previously mentioned in the post: Case Study: Tiens Biotech. (By the way, since that post TBV has shot up 13%!)

Jim Cramer Guinness

Jim Cramer on Diageo (DEO) :


Diageo (DEO) has appreciated considerably since my last Case Study: Liquor Stocks and Hair of the Dog, back in January 2006. As of January 9th 2006, the stock price was (adjusted) $57.97. As of market close on Friday, December 8th 2006, the adjusted close was $77.45, for a gain of 33.6% in under a year!

Back then, Warren Buffett had just picked up some shares, the price/earnings ratio was much lower than its current 19.61, and the dividend yield ratio was 4.50%, compared to today's 3.70%. The stock is also near the top of its 52-week range, and has a higher debt/equity ratio than I would normally like, at 1.059. So while I still will enjoy their products - and think they're a great company, I don't see myself dipping into the Diageo liquor stock anytime soon.