Berkshire Hathaway Valuation
| BRK-B Stock | USD 494.10 5.72 1.14% |
At this time, the firm appears to be fairly valued. Berkshire Hathaway shows a prevailing Real Value of $508.61 per share. The current price of the firm is $494.1. Our model approximates the value of Berkshire Hathaway from analyzing the firm fundamentals such as Profit Margin of 0.24 %, return on equity of 0.15, and Current Valuation of 1.15 T as well as examining its technical indicators and probability of bankruptcy.
Fairly Valued
Today
Please note that Berkshire Hathaway's price fluctuation is very steady at this time. Calculation of the real value of Berkshire Hathaway is based on 3 months time horizon. Increasing Berkshire Hathaway's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Berkshire Hathaway is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Berkshire Stock. However, Berkshire Hathaway's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 494.1 | Real 508.61 | Hype 499.97 | Naive 507.34 |
The real value of Berkshire Stock, also known as its intrinsic value, is the underlying worth of Berkshire Hathaway Company, which is reflected in its stock price. It is based on Berkshire Hathaway's financial performance, growth prospects, management team, or industry conditions. The intrinsic value of Berkshire Hathaway's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
Estimating the potential upside or downside of Berkshire Hathaway helps investors to forecast how Berkshire stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Berkshire Hathaway more accurately as focusing exclusively on Berkshire Hathaway's fundamentals will not take into account other important factors: Berkshire Hathaway Total Value Analysis
Berkshire Hathaway is currently estimated to have takeover price of 1.15 T with market capitalization of 1.08 T, debt of 2.44 B, and cash on hands of 35.81 B. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Berkshire Hathaway fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
1.15 T | 1.08 T | 2.44 B | 35.81 B |
Berkshire Hathaway Investor Information
About 67.0% of the company shares are held by institutions such as insurance companies. The company has price-to-book (P/B) ratio of 1.66. Some equities with similar Price to Book (P/B) outperform the market in the long run. Berkshire Hathaway recorded earning per share (EPS) of 41.29. The entity had not issued any dividends in recent years. The firm had 50:1 split on the 21st of January 2010. Based on the key measurements obtained from Berkshire Hathaway's financial statements, Berkshire Hathaway is not in a good financial situation at this time. It has a very high probability of going through financial hardship in March.Berkshire Hathaway Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Berkshire Hathaway has an asset utilization ratio of 32.19 percent. This suggests that the Company is making $0.32 for each dollar of assets. An increasing asset utilization means that Berkshire Hathaway is more efficient with each dollar of assets it utilizes for everyday operations.Berkshire Hathaway Ownership Allocation
Berkshire Hathaway holds a total of 1.34 Billion outstanding shares. Over half of Berkshire Hathaway's outstanding shares are owned by other corporate entities. These other corporate entities are typically referred to as corporate investors that acquire positions in a given instrument to benefit from reduced trade commissions. Please note that no matter how many assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.Berkshire Hathaway Profitability Analysis
The company reported the revenue of 371.43 B. Net Income was 89.56 B with profit before overhead, payroll, taxes, and interest of 113.74 B.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Berkshire Hathaway's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Berkshire Hathaway and how it compares across the competition.
About Berkshire Hathaway Valuation
The stock valuation mechanism determines Berkshire Hathaway's current worth on a weekly basis. Our valuation model uses a comparative analysis of Berkshire Hathaway. We calculate exposure to Berkshire Hathaway's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Berkshire Hathaway's related companies.Berkshire Hathaway Inc., through its subsidiaries, engages in the insurance, freight rail transportation, and utility businesses worldwide. The company was incorporated in 1998 and is headquartered in Omaha, Nebraska. Berkshire Hathaway operates under InsuranceDiversified classification in the United States and is traded on NYQ Exchange. It employs 360000 people.
Berkshire Hathaway Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 1.4 M | |
| Quarterly Earnings Growth Y O Y | -0.474 | |
| Forward Price Earnings | 25.4453 |
Complementary Tools for Berkshire Stock analysis
When running Berkshire Hathaway's price analysis, check to measure Berkshire Hathaway's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Berkshire Hathaway is operating at the current time. Most of Berkshire Hathaway's value examination focuses on studying past and present price action to predict the probability of Berkshire Hathaway's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Berkshire Hathaway's price. Additionally, you may evaluate how the addition of Berkshire Hathaway to your portfolios can decrease your overall portfolio volatility.
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes |