Ann: Net Tangible Asset Backing, page-4

Hard to tell exactly what the problem is as I have been in and out of the stock over a number of years. But from my recollections and interspersed reading of his monthly excuses (aka his monthly report), it seems to me he is missing the big trends (or is anti the big trends, e.g. FANG, growth, momentum) and instead focuses on the small trends that he thinks will play out over years. He occasionally gets these right to a small extent, e.g. some short positions but thinks they have more to play out, so he sits on them and misses taking profits. The small trends or mis-prices he picks up are often range trades which he fails to recognize because his apparent lack of ability to self assess his trades. Just my opinion based more on gut feel than hard statistics (a bit like his approach to his long/short fund).

I have only been back in the stock the last 3-4 months so fortunately not out of the money(yet), but I can see now why the NTA gap refuses to close despite the buy back. It really should have closed to some extent with the BB but there are seems to be no shortage of sellers here given the losses most will be sitting on and no significant outperformance to bring in new buyers.