Berkshire Hathaway B (BRK.B) AI Stock Analysis

• Market Cap: $1.05T
• Dividend Yield: N/A
• Average Volume (3M): 4.48M
• Price to Earnings (P/E): 12.9
• Beta (1Y): 0.53
• Revenue Growth: 0.63%
• EPS Growth: 10.77%
• Country: US
• Employees: 392,400
• Sector: Financial
• Sector Strength: 79
• Industry: Insurance - Diversified
• EPS (TTM): 4.46
• Shares Outstanding: 1,342,836,700
• 10 Day Avg. Volume: 4,602,324
• 30 Day Avg. Volume: 4,479,718
• PEG Ratio: -1.45
• Price to Book (P/B): 1.63
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 88.25
• Enterprise Value/Market Cap: 1.09
• Enterprise Value/Revenue: 0.68
• Enterprise Value/Gross Profit: 6.32
• Enterprise Value/Ebitda: 2.30
• 1Y Price Target: $591.00
• Price Target Upside: 21.69% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 67 Neutral
• Price Target: $549.00 ▲(13.04%Upside)

Berkshire Hathaway's strong financial performance and attractive valuation are key strengths, offset by weak technical indicators suggesting short-term challenges. The absence of a dividend yield and technical bearish signals contribute to a moderate overall score.

Berkshire Hathaway B Business Overview & Revenue Model

Company Description

Berkshire Hathaway Inc. (BRK.B) is a diversified multinational conglomerate holding company headquartered in Omaha, Nebraska. The company is known for its wide-ranging portfolio of wholly-owned subsidiaries and equity investments in various sectors, including insurance, utilities and energy, freight rail transportation, manufacturing, retailing, and services. Originally founded as a textile manufacturing company, Berkshire Hathaway has evolved under the leadership of CEO Warren Buffett into a powerhouse with significant interests in both private and publicly traded companies across the globe.

How the Company Makes Money

Berkshire Hathaway makes money through a diverse range of revenue streams stemming from its various subsidiaries and investments. A significant portion of its revenue comes from its insurance operations, which include companies such as GEICO, General Re, and Berkshire Hathaway Reinsurance Group. These insurance businesses generate income through underwriting profits and investment of the premiums collected. Additionally, Berkshire Hathaway owns a substantial equity portfolio, including large stakes in companies like Apple, Coca-Cola, and Bank of America, which provide dividends and capital appreciation. The company's non-insurance businesses, such as BNSF Railway, Berkshire Hathaway Energy, and its manufacturing, service, and retailing operations, also contribute significantly to its earnings. These businesses generate income through the sale of goods and services, leveraging their market positions and operational efficiencies. Berkshire's success is further bolstered by its decentralized management structure, allowing subsidiaries to operate independently while benefiting from the financial strength and strategic guidance of the parent company.

Berkshire Hathaway B Financial Statement Overview

Summary

Berkshire Hathaway demonstrates a strong financial standing with high profitability, a solid balance sheet, and stable cash flow. However, there is room for improvement in cash flow efficiency and revenue growth.

Income Statement

Berkshire Hathaway's income statement for the TTM shows solid profitability with a net profit margin of 19.46% and a gross profit margin of 1.55%. However, there is a slight decline in revenue growth compared to the previous year. The EBIT margin stands at 42.49%, reflecting strong operational efficiency.

Balance Sheet

The balance sheet indicates a robust financial position with a debt-to-equity ratio of 0.19, suggesting low financial leverage. The equity ratio of 56.20% highlights a strong equity base, and ROE is at 12.36%, showcasing effective use of equity to generate profits.

Cash Flow

Cash flow analysis shows a moderate performance with a slight growth in free cash flow. The operating cash flow to net income ratio is 0.38, indicating sufficient cash generation to support operations, though it could be stronger.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	415.78B	424.23B	439.34B	234.12B	354.73B	286.32B
Gross Profit	181.61B	200.55B	208.84B	46.91B	184.80B	135.47B
EBITDA	117.91B	128.43B	137.66B	-15.25B	126.75B	70.37B
Net Income	80.90B	89.00B	96.22B	-22.76B	89.94B	42.52B
Balance Sheet
Total Assets	1.16T	1.15T	1.07T	948.47B	958.78B	873.73B
Cash, Cash Equivalents and Short-Term Investments	347.68B	334.20B	167.64B	128.59B	146.72B	138.29B
Total Debt	125.93B	130.76B	133.57B	127.68B	119.25B	122.36B
Total Liabilities	507.79B	502.23B	499.21B	466.78B	443.85B	422.39B
Stockholders Equity	654.47B	649.37B	561.27B	473.42B	506.20B	443.16B
Cash Flow
Free Cash Flow	12.06B	11.62B	29.79B	21.76B	26.14B	26.76B
Operating Cash Flow	30.93B	30.59B	49.20B	37.22B	39.42B	39.77B
Investing Cash Flow	-23.48B	-10.29B	-32.66B	-87.60B	29.39B	-37.76B
Financing Cash Flow	-505.00M	-10.36B	-14.40B	-1.66B	-28.51B	-18.34B

Berkshire Hathaway B Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 485.68
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BRK.B, the sentiment is Negative. The current price of 485.68 is below the 20-day moving average (MA) of 490.51, below the 50-day MA of 506.11, and above the 200-day MA of 482.73, indicating a neutral trend. The MACD of -5.48 indicates Negative momentum. The RSI at 40.39 is Neutral, neither overbought nor oversold. The STOCH value of 24.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BRK.B.

Berkshire Hathaway B Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PFG	75 Outperform	$17.28B	16.52	9.70%	3.94%	5.84%	-10.64%
HIG	74 Outperform	$35.42B	12.43	18.49%	1.67%	7.55%	14.16%
ACGL	73 Outperform	$33.44B	9.26	18.42%	―	25.29%	-23.19%
AIG	68 Neutral	$48.75B	18.90	6.13%	2.12%	-44.30%	-33.09%
BRK.A	67 Neutral	$1.05T	12.97	13.20%	―	0.63%	10.77%
Sector *	67 Neutral	¥712.08B	10.85	7.42%	3.39%	7.79%	16.17%
BRK.B	67 Neutral	$1.05T	12.93	13.20%	―	0.63%	10.77%