BRK-B Fair Value Estimate
$759.3857.9% undervalued
Blended fair value estimate based on DCF, Graham Number, and earnings-based models.
Berkshire Hathaway Inc - Class B
Exchange: NYSESector: Financial ServicesIndustry: Insurance - Diversified
Berkshire Hathaway Inc. (Berkshire) is a holding company owning subsidiaries engaged in a number of diverse business activities. The Company is engaged in the insurance businesses conducted on both a primary basis and a reinsurance basis, a freight rail transportation business and a group of utility, and energy generation and distribution businesses. Berkshire also owns and operates a number of other businesses engaged in a variety of activities. In October 2012, HomeServices acquired a 66.7% interest in the residential real estate brokerage franchise network in the United States. The Company's insurance underwriting operations are consisted of the sub-groups, including GEICO and its subsidiaries, General Re and its subsidiaries, Berkshire Hathaway Reinsurance Group and Berkshire Hathaway Primary Group. In May 2013, Berkshire acquired the remaining 20% stake in IMC International Metalworking Companies BV.
Current Price
$480.90
+0.09%GoodMoat Value
$759.38
57.9% undervaluedProfile
Valuation (TTM)
Market Cap$1.04T
P/E14.32
EV—
P/B1.45
Shares Out2.16B
P/Sales2.47
Revenue$419.30B
EV/EBITDA10.25
Berkshire Hathaway Inc - Class B (BRK-B) Valuation
BRK-B Valuation Metrics
FCF$25.04B
FCF Growth Rate1.64%
EPS Growth (CAGR)-3.20%
WACC10.00%
Fair Value Models
Graham Number, PEG-based, and Earnings-based models
View Fair Value →BRK-B Valuation & Fair Value Analysis
Berkshire Hathaway Inc - Class B (BRK-B) valuation analysis using multiple fair value methodologies. GoodMoat calculates a blended fair value target using discounted cash flow (DCF) analysis, the Graham Number, and earnings-based valuation models.
The GoodMoat Fair Value target for Berkshire Hathaway Inc - Class B is $759.38. The current stock price is $480.90, suggesting the stock is 57.9% undervalued.
The price-to-earnings (P/E) ratio is 14.32. Price-to-book ratio is 1.45. Price-to-sales ratio is 2.47. Enterprise value to EBITDA is 10.25. PEG ratio is 0.12.
GoodMoat's valuation models include the Graham Number (based on EPS and book value), an earnings-based model (discounted future EPS), and a PEG-adjusted valuation. The three models are averaged to produce a blended fair value estimate. Use these tools alongside the DCF calculator and reverse DCF to form a comprehensive view of Berkshire Hathaway Inc - Class B's intrinsic value.