Berkshire Hathaway Valuation
Is BRK/B undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
4/6Valuation Score 4/6
Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of BRK/B when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: BRK/B (CHF267.44) is trading below our estimate of fair value (CHF710.84)
Significantly Below Fair Value: BRK/B is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for BRK/B?
Other financial metrics that can be useful for relative valuation.
What is BRK/B's n/a Ratio? | |
---|---|
n/a | 0x |
n/a | n/a |
Market Cap | US$865.44b |
Key Statistics | |
---|---|
Enterprise Value/Revenue | 2.3x |
Enterprise Value/EBITDA | 6.2x |
PEG Ratio | -0.3x |
Price to Earnings Ratio vs Peers
How does BRK/B's PE Ratio compare to its peers?
Company | Forward PE | Estimated Growth | Market Cap |
---|---|---|---|
Peer Average | 15.7x | ||
UBSG UBS Group | 3.1x | -34.0% | CHF78.9b |
PGHN Partners Group Holding | 31.2x | 13.9% | CHF31.3b |
INVE A Investor | 5.2x | -46.6% | kr835.6b |
BAER Julius Bär Gruppe | 23.5x | 20.4% | CHF10.7b |
BRK/B Berkshire Hathaway | 9x | -35.3% | CHF865.4b |
Price-To-Earnings vs Peers: BRK/B is good value based on its Price-To-Earnings Ratio (9x) compared to the peer average (15.7x).
Price to Earnings Ratio vs Industry
How does BRK/B's PE Ratio compare vs other companies in the European Diversified Financial Industry?
Price-To-Earnings vs Industry: BRK/B is good value based on its Price-To-Earnings Ratio (9x) compared to the European Diversified Financial industry average (12.1x).
Price to Earnings Ratio vs Fair Ratio
What is BRK/B's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
Fair Ratio | |
---|---|
Current PE Ratio | 9x |
Fair PE Ratio | 8.8x |
Price-To-Earnings vs Fair Ratio: BRK/B is expensive based on its Price-To-Earnings Ratio (9x) compared to the estimated Fair Price-To-Earnings Ratio (8.8x).
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Insufficient data to show price forecast.