Berkshire Hathaway Financials

BRK-B Stock  USD 420.52  3.59  0.86%   
Based on the key measurements obtained from Berkshire Hathaway's financial statements, Berkshire Hathaway is doing better financially then in previous quarter. It has a moderate probability of reporting better financial numbers in April. At present, Berkshire Hathaway's Common Stock Shares Outstanding is projected to increase significantly based on the last few years of reporting. The current year's Total Assets is expected to grow to about 1.1 T, whereas Other Current Liabilities is projected to grow to (5.1 B). Key indicators impacting Berkshire Hathaway's financial strength include:
Current ValueLast YearChange From Last Year 10 Year Trend
Debt Equity Ratio0.180.2285
Significantly Down
Slightly volatile
Operating Income22.2 B43.3 B
Way Down
Slightly volatile
Current Ratio29.9425.6684
Fairly Up
Pretty Stable
The financial analysis of Berkshire Hathaway is a critical element in measuring its lifeblood. The essential information of the day-to-day investment outlook for Berkshire Hathaway includes many different criteria found on its balance sheet. For example, investors should never minimize Berkshire Hathaway's ability to pay suppliers or employees on time, making sure interest payments are not accumulating or correctly timing where and how to re-invest extra cash. Any individual investor needs to monitor Berkshire Hathaway's cash flow, debt, and profitability to effectively and accurately make more informed decisions on whether to invest in Berkshire Hathaway.

Cash And Equivalents

31.1 Billion

With this module, you can analyze Berkshire financials for your investing period. You should be able to track the changes in Berkshire Hathaway individual financial statements over time to develop the understanding of its risk, liquidity, profitability, or other critical and vital indicators.
  
Understanding current and past Berkshire Hathaway Financials, including the trends in assets, liabilities, equity and income are directly related to making proper and timely investing decisions. All of Berkshire Hathaway's financial statements are interrelated, with each one affecting the others. For example, an increase in Berkshire Hathaway's assets may result in an increase in income on the income statement.
Evaluating Berkshire Hathaway's financials involves analyzing a range of financial metrics and ratios to gain insights into the company's financial health and performance. However, considering all of Berkshire Hathaway's profitability, liquidity ratios, and efficiency indicators at the same time could be an enormous task, and our Financial Distress score can provide you with a snapshot of the Berkshire Hathaway's relative financial performance

Chance Of Distress

Less than 3

 
100  
 
Zero
Very Low
Berkshire Hathaway has less than 3 (%) percent chance of experiencing financial distress in the next two years of operations. The calculation of odds of distress for Berkshire Hathaway stock is tightly coupled with the Probability of Bankruptcy. It complements the equity performance score by supplying investors with insight into company financials without requiring them to know too much about all of the complex accounting and financial indicators surrounding the entity.
Please note, Berkshire Hathaway's odds of distress score SHOULD NOT be confused with the real chance of Berkshire Hathaway filing for bankruptcy protection for chapters 7, 11, 12, or 13. We define Financial Distress as an operational condition where an entity such as Berkshire is having difficulty meeting its current financial obligations towards its creditors or delivering on the expectations of its investors. Macroaxis derives these conditions daily from public financial statements and analysis of stock prices reacting to market conditions or economic downturns, including short-term and long-term historical volatility. Other factors considered include Berkshire Hathaway's liquidity analysis, revenue patterns, R&D expenses, and commitments, as well as public headlines and social sentiment.
More Info
The data published in Berkshire Hathaway's official financial statements usually reflect Berkshire Hathaway's business processes, product offerings, services, and other fundamental events. But there are other numbers, ratios, or fundamental indicators derived from these statements that are easier to understand and visualize within the underlying realities that drive quantitative information of Berkshire Hathaway. For example, before you start analyzing numbers published by Berkshire accountants, it's critical to develop an understanding of what Berkshire Hathaway's liquidity, profitability, and earnings quality are in the context of the Financial Services space in which it operates.
Please note, the presentation of Berkshire Hathaway's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Berkshire Hathaway's management is honest, while the outside auditors are strict and uncompromising. Whatever the case, the imprecision that can be found in Berkshire Hathaway's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Berkshire Hathaway. Please utilize our Beneish M Score to check the likelihood of Berkshire Hathaway's management manipulating its earnings.

Berkshire Hathaway Company Summary

Berkshire Hathaway competes with Yamaha, Nitto Denko, Farmers Merchants, Furukawa Electric, and Vyne Therapeutics. 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.
Specialization
Financial Services, Insurance - Diversified
InstrumentUSA Stock View All
ExchangeNew York Stock Exchange
ISINUS0846707026
Business Address3555 Farnam Street,
SectorFinancial Services
IndustryFinancials
BenchmarkNYSE Composite
Websitewww.berkshirehathaway.com
Phone402 346 1400
CurrencyUSD - US Dollar
You should never invest in Berkshire Hathaway without having analyzed its financial statements. Do not rely on someone else's analysis or guesses about the future performance of Berkshire Stock, because this is throwing your money away. Analyzing the key information contained in Berkshire Hathaway's financial statements can give you an edge over other investors and help to ensure that your investments perform well for you.

Berkshire Hathaway Key Financial Ratios

Generally speaking, Berkshire Hathaway's financial ratios allow both analysts and investors to convert raw data from Berkshire Hathaway's financial statements into concise, actionable information that can be used to evaluate the performance of Berkshire Hathaway over time and compare it to other companies across industries. There are many critical financial ratios that investors are exposed to on a daily basis, but they are usually grouped into few meaningful categories from each financial statement that Berkshire Hathaway reports annually and quarterly.

Berkshire Hathaway Key Balance Sheet Accounts

201920202021202220232024 (projected)
Total Assets817.7B873.7B958.8B948.5B1.1T1.1T
Other Current Liab8.1B5.6B4.5B8.6B(5.3B)(5.1B)
Net Debt39.2B68.9B26.1B86.9B90.2B94.8B
Retained Earnings402.5B444.6B534.4B511.6B607.4B637.7B
Accounts Payable42.3B44.5B46.1B49.8B49.4B51.8B
Cash64.2B48.0B88.2B35.8B38.0B31.4B
Other Assets55.4B63.8B67.6B72.5B765.1B803.4B
Net Receivables35.8B35.9B39.6B48.3B44.2B46.4B
Total Liab389.2B422.4B443.9B467.8B499.2B524.2B
Total Current Assets163.8B174.1B186.3B176.9B211.8B222.4B
Cash And Equivalents64.2B48.0B88.2B35.8B41.2B31.1B
Good Will81.9B73.7B73.9B78.1B84.6B50.0B
Inventory19.9B19.2B21.0B25.4B24.2B25.4B
Other Current Assets20.5B19.9B21.8B26.5B(24.2B)(23.0B)
Short Term Debt4.7B3.3B2.4B2.4B5.3B5.6B
Intangible Assets31.6B30.7B28.5B29.2B29.3B20.3B
Net Tangible Assets311.9B340.0B402.7B363.8B418.3B272.0B
Long Term Debt968M113.5B111.9B120.3B122.9B129.1B
Long Term Debt Total968M113.5B111.9B120.3B138.4B145.3B
Capital Surpluse35.7B35.6B35.6B35.2B31.7B28.6B

Berkshire Hathaway Key Income Statement Accounts

An income statement is very similar to a cash flow statement, but instead of showing net revenue minus expenses, it only includes earnings before interest and taxes (EBIT). This number does not have all of the same line items that are on a cash flow statement, but it leaves out non-cash expenses like depreciation and amortization. For example, if you bought $100 worth of goods from Walmart (WMT) using your debit card that has an interest rate of 20%, then paid off the balance at the end of the month with a credit card that charges 30% interest, you would have an income statement showing EBIT of $80 because your expenses are lower than the amount that went into your pocket. The other reason investors look at the income statement is to determine what Berkshire Hathaway's earnings per share (EPS) will be in order to see if they want to buy more shares or not. For example, if a company earned $20 million in the last quarter and has 100,000 shares outstanding, its EPS is 20 cents. If you find that this number beats analysts' forecasts or is higher than it was from the same period last year, then you might want to buy more of this stock even though its price per share may not have changed.
201920202021202220232024 (projected)
Interest Expense4.0B4.1B4.2B4.4B5.0B5.3B
Total Revenue254.6B245.5B354.6B302.1B439.3B461.3B
Gross Profit327.2B286.3B354.6B177.8B316.8B332.6B
Operating Income106.3B59.0B111.7B37.3B43.3B22.2B
Ebitda116.3B69.6B(71.7B)(16.1B)43.3B45.5B
Net Income81.4B42.5B89.8B(22.8B)96.2B101.0B
Income Tax Expense20.9B12.4B20.9B(8.5B)23.0B24.2B
Ebit106.3B59.0B(82.4B)(27.0B)30.9B32.4B
Income Before Tax102.7B55.7B111.7B(30.6B)120.2B126.2B
Cost Of Revenue107.0B101.1B114.1B124.3B122.6B91.8B
Minority Interest3.9B8.2B8.3B8.7B(897M)(852.2M)
Tax Provision20.9B12.4B20.9B(8.5B)17.7B18.6B
Net Interest Income(4.0B)(4.1B)(4.2B)(4.4B)(4.9B)(5.1B)
Interest Income9.2B8.1B7.5B66.0B14.3B17.3B

Berkshire Hathaway Key Cash Accounts

Cash flow analysis captures how much money flows into and out of Berkshire Hathaway. It measures of how well Berkshire is doing because it can show the actual money that comes into and out of the Company from sales instead of measuring expenses against revenue to determine earnings. You have to read the cash flow statement in three sections. The first section shows how much money Berkshire Hathaway brought in, usually known as net revenue or sales. This is different from earnings because it does not include expenses when determining net revenue for use on this part of the cash flow statement. Next, are operating activities, which show how much money Berkshire had leftover after paying for its expenses. This number can be calculated in two ways: by subtracting the total of all operating expenses from net revenue or by adding up changes to cash and other assets or liabilities on this part of the statement. The third section is about investing activities, which shows what Berkshire Hathaway has done with the money that it received from the sale of assets or what it spent to acquire new ones. This section can be broken down into two parts: investing in existing businesses (in other words, buying more stock) and investing in non-business activities like paying off debt or making acquisitions.
201920202021202220232024 (projected)
Change In Cash33.8B(16.2B)40.3B(52.3B)2.2B2.4B
Free Cash Flow22.7B26.8B26.1B21.8B29.8B31.3B
Depreciation10.1B10.6B10.7B10.9B12.5B13.1B
Other Non Cash Items(72.4B)(29.6B)(81.0B)63.3B(80.9B)(76.8B)
Capital Expenditures16.0B13.0B13.3B15.5B19.4B20.4B
Net Income81.8B43.3B90.8B(22.1B)97.1B102.0B
End Period Cash Flow64.6B48.4B88.7B36.4B38.6B32.1B
Investments270M(379M)29.4B(87.6B)(31.4B)(33.0B)
Net Borrowings6.1B6.8B(752M)8.2B7.4B4.2B
Change To Netincome(72.4B)(40.9B)(80.0B)64.1B57.7B60.5B

Berkshire Financial Ratios Relationships

Comparative valuation techniques use various fundamental indicators to help in determining Berkshire Hathaway's current stock value. Our valuation model uses many indicators to compare Berkshire Hathaway value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Berkshire Hathaway competition to find correlations between indicators driving Berkshire Hathaway's intrinsic value. More Info.
Berkshire Hathaway is number one stock in gross profit category among related companies. It is number one stock in cash flow from operations category among related companies . At present, Berkshire Hathaway's Gross Profit is projected to increase significantly based on the last few years of reporting.. Comparative valuation analysis is a catch-all model that can be used if you cannot value Berkshire Hathaway by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Berkshire Hathaway's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Berkshire Hathaway's earnings, one of the primary drivers of an investment's value.

Berkshire Hathaway Systematic Risk

Berkshire Hathaway's systematic risk plays a vital role in portfolio allocation when considering its stock to be added to a well-diversified portfolio. Berkshire Hathaway volatility which cannot be eliminated through diversification, requires returns over the risk-free rate. Over the long run, a well-diversified portfolio provides returns that match its exposure to systematic risk. In this case, investors face a trade-off between expected returns and systematic risk and, therefore, can only reduce a portfolio's exposure to systematic risk by sacrificing expected returns on the portfolio.
Incorrect Input. Please change your parameters or increase the time horizon required for running this function. The output start index for this execution was zero with a total number of output elements of zero. The Beta measures systematic risk based on how returns on Berkshire Hathaway correlated with the market. If Beta is less than 0 Berkshire Hathaway generally moves in the opposite direction as compared to the market. If Berkshire Hathaway Beta is about zero movement of price series is uncorrelated with the movement of the benchmark. if Beta is between zero and one Berkshire Hathaway is generally moves in the same direction as, but less than the movement of the market. For Beta = 1 movement of Berkshire Hathaway is generally in the same direction as the market. If Beta > 1 Berkshire Hathaway moves generally in the same direction as, but more than the movement of the benchmark.

About Berkshire Hathaway Financials

What exactly are Berkshire Hathaway Financials? Typically, a company's financial statements are the reports that show the financial position of the company. Three primary documents fall into the category of financial statements. These documents include Berkshire Hathaway's income statement, its balance sheet, and the statement of cash flows. Potential Berkshire Hathaway investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Berkshire Hathaway investors may use each financial statement separately, they are all related. The changes in Berkshire Hathaway's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Berkshire Hathaway's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.

Steps to analyze Berkshire Hathaway Financials for Investing

There are several different ways that investors can use financial statements to try and predict whether a stock price will go up or down. Unfortunately, there is no surefire formula, but there are some general guidelines you should consider when looking at the numbers. First, realize what kind of company it is so you know if its revenues are more likely to grow or shrink over time. For example, a software company's revenue is expected to increase yearly due to new products and services that its customers will want to buy. At the same time, a car manufacturer might not be able to sell as many cars when the economy slows down, so it would have less net income during those times. Second, pay attention to its debt-to-equity ratio because this number will tell you how much risk it has. If a company such as Berkshire Hathaway is not taking on any additional risks, its debt-to-equity should be less than one. As a general rule of thumb, if the market value or book value (which can be found in the footnotes) of assets exceeds the company's liabilities, then it is probably in good shape. Finally, use other financial statements to determine if a stock price will go up or down because investors are always looking for growth opportunities when they buy new stocks. For example, if you see that the net revenue of Berkshire has grown by more than 25% over the last five years, then there is a good chance that it will continue growing by at least 20% or more each year. On the other hand, if you see that net revenue has only increased by about 15%, which is barely above inflation levels, then chances are it will not grow much faster than this over time, and investors may shy away from buying it.
In summary, you can determine if Berkshire Hathaway's financials are consistent with your investment objective using the following steps:
  • Review Berkshire Hathaway's balance sheet accounts, such as liabilities and equity, to understand its overall financial position.
  • Analyze the income statement and examine the company's revenue, expenses, and profits over time to determine its financial performance.
  • Study the cash flow inflows and outflows to understand Berkshire Hathaway's liquidity and solvency.
  • Look at the growth rates in revenue, earnings, and cash flow over time to determine its potential for future growth.
  • Compare Berkshire Hathaway's financials to those of its peers to see how it stacks up and identify any potential red flags.
  • Use valuation ratios to evaluate the company's financials using commonly used ratios such as the price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and enterprise value-to-earnings before interest, taxes, depreciation, and amortization (EV/EBITDA) ratio to determine if Berkshire Hathaway's stock is overvalued or undervalued.
Remember, these are just guidelines and should not be the only basis for investment decisions. It is always important to analyze the leading stock market indicators., conduct additional research and seek professional advice if needed.
Today, most investors in Berkshire Hathaway Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Berkshire Hathaway's growth ratios. Consistent increases or decreases in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's growth growth rates may not be enough to decide which company is a better investment. That's why investors frequently use static breakdown of Berkshire Hathaway growth as a starting point in their analysis.

Price Earnings To Growth Ratio

(0.016)

At present, Berkshire Hathaway's Price Earnings To Growth Ratio is projected to slightly grow based on the last few years of reporting.

Berkshire Hathaway March 29, 2024 Opportunity Range

Along with financial statement analysis, the daily predictive indicators of Berkshire Hathaway help investors to analyze its daily demand and supply, volume, patterns, and price swings to determine the real value of Berkshire Hathaway. We use our internally-developed statistical techniques to arrive at the intrinsic value of Berkshire Hathaway based on widely used predictive technical indicators. In general, we focus on analyzing Berkshire Stock price patterns and their correlations with different microeconomic environment and drivers. We also apply predictive analytics to build Berkshire Hathaway's daily price indicators and compare them against related drivers.
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Berkshire Hathaway. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in board of governors.
You can also try the My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.

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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.
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Please note, there is a significant difference between Berkshire Hathaway's value and its price as these two are different measures arrived at by different means. Investors typically determine if Berkshire Hathaway is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Berkshire Hathaway's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.