"Take [[Warren Buffett|Buffett]] at his word and say [[BNSF Railway|BNSF]] was worth closer to $95 per share. Why pay $100? **[[BNSF Railway|BNSF]] boasts many more intangible values**, especially its **logical cultural fit for [[Berkshire Hathaway|Berkshire]] and its large size**. There is also **growth potential**. Experts and industry insiders—[[Matthew K. Rose]] among them—expect a final round of railroad industry consolidation. They foresee two gigantic systems blanketing North America competing head to head in all regions. [[BNSF Railway|BNSF]] will be one of them. In addition to exemplifying engagement in rudimentary business—transporting energy, food, and freight across the continent—**[[BNSF Railway|BNSF]] is budget conscious and earnest, invested deeply in its reputation, and promotes entrepreneurship in a much flatter organization compared to traditional railroad culture**. It is imminently **focused on the very long term**, routinely acquiring or building assets expected to last up to fifty years. With returns on equity exceeding 20 percent annually in recent years, [[BNSF Railway|BNSF]] is worth every penny of what it cost to acquire." ([Location 3575](https://readwise.io/to_kindle?action=open&asin=B00K33E460&location=3575))" --- **Tags** -- [[quotes]], [[return-on-equity]] , [[long-term-thinking]] , [[organisational-culture]] , [[intangible-assets]] , **Source** -- [[202407260951 - B - Berkshire Beyond Buffett]]