By Alistair Barr, MarketWatch
OMAHA, Neb. (MarketWatch) -- Berkshire Hathaway Chairman Warren Buffett said Saturday that there are no plans to repurchase shares because the company's intrinsic value isn't a lot higher than where the stock is trading.
Buffett and Vice Chairman Charlie Munger urged several companies to buy back stock during the 1970s and early 1980s, however, Buffett noted Saturday that he hasn't written in favor of this strategy for roughly a decade.
"Most of the repurchasing in recent years was foolish" because companies were paying too much, Buffett said.
The only time Berkshire (BRKA: ) considered repurchasing its stock was in 2000, when the company's shares were trading far below the intrinsic value of the organization, Buffett explained.
If Berkshire thought its shares were currently trading "demonstrably lower than intrinsic value," based on conservative assumptions, Buffett said the company would buy back stock.
"I don't think that situation exists now," Buffett said.Alistair Barr is a reporter for MarketWatch in San Francisco.
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