Berkshire Hathaway Stock Buy Hold or Sell Recommendation
| BRK-B Stock | USD 463.41 3.28 0.71% |
Assuming the 90 days horizon and your above-average risk tolerance, our recommendation regarding Berkshire Hathaway is 'Hold'. Macroaxis provides Berkshire Hathaway buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding BRK-B positions.
Check out Berkshire Hathaway Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. In addition, we conduct extensive research on individual companies such as Berkshire and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Berkshire Hathaway. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
Berkshire |
Execute Berkshire Hathaway Buy or Sell Advice
The Berkshire recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Berkshire Hathaway. Macroaxis does not own or have any residual interests in Berkshire Hathaway or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Berkshire Hathaway's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Hold
Market Performance | OK | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Very Small | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Analyst Consensus | Buy | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Berkshire Hathaway Trading Alerts and Improvement Suggestions
| Berkshire Hathaway is unlikely to experience financial distress in the next 2 years | |
| Berkshire Hathaway has a poor financial position based on the latest SEC disclosures | |
| About 66.0% of the company shares are held by institutions such as insurance companies | |
| Latest headline from simplywall.st: These 4 Measures Indicate That Zhangzhou Pientzehuang Pharmaceutical Is Using Debt Safely |
Berkshire Hathaway Returns Distribution Density
The distribution of Berkshire Hathaway's historical returns is an attempt to chart the uncertainty of Berkshire Hathaway's future price movements. The chart of the probability distribution of Berkshire Hathaway daily returns describes the distribution of returns around its average expected value. We use Berkshire Hathaway price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Berkshire Hathaway returns is essential to provide solid investment advice for Berkshire Hathaway.
| Mean Return | 0.11 | Value At Risk | -1.83 | Potential Upside | 1.40 | Standard Deviation | 1.11 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Berkshire Hathaway historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Berkshire Hathaway Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change In Cash | 33.8B | (16.2B) | 40.3B | (52.3B) | 2.2B | 2.4B | |
| Free Cash Flow | 22.7B | 26.8B | 26.1B | 21.8B | 29.8B | 31.3B | |
| Depreciation | 10.1B | 10.6B | 10.7B | 10.9B | 12.5B | 13.1B | |
| Other Non Cash Items | (72.4B) | (29.6B) | (81.0B) | 63.3B | (80.9B) | (76.8B) | |
| Capital Expenditures | 16.0B | 13.0B | 13.3B | 15.5B | 19.4B | 20.4B | |
| Net Income | 81.8B | 43.3B | 90.8B | (22.1B) | 97.1B | 102.0B | |
| End Period Cash Flow | 64.6B | 48.4B | 88.7B | 36.4B | 38.6B | 32.1B | |
| Investments | 270M | (379M) | 29.4B | (87.6B) | (31.4B) | (33.0B) | |
| Net Borrowings | 6.1B | 6.8B | (752M) | 8.2B | 7.4B | 4.2B | |
| Change To Netincome | (72.4B) | (40.9B) | (80.0B) | 64.1B | 57.7B | 60.5B |
Berkshire Hathaway Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Berkshire Hathaway or Financial Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Berkshire Hathaway's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Berkshire stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | -0.05 | |
β | Beta against Dow Jones | 0.99 | |
σ | Overall volatility | 1.13 | |
Ir | Information ratio | -0.05 |
Berkshire Hathaway Volatility Alert
Berkshire Hathaway has low volatility with Treynor Ratio of 0.1, Maximum Drawdown of 7.23 and kurtosis of 7.21. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Berkshire Hathaway's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Berkshire Hathaway's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Berkshire Hathaway Fundamentals Vs Peers
Comparing Berkshire Hathaway's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Berkshire Hathaway's direct or indirect competition across all of the common fundamentals between Berkshire Hathaway and the related equities. This way, we can detect undervalued stocks with similar characteristics as Berkshire Hathaway or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Berkshire Hathaway's fundamental indicators could also be used in its relative valuation, which is a method of valuing Berkshire Hathaway by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Berkshire Hathaway to competition |
| Fundamentals | Berkshire Hathaway | Peer Average |
| Return On Equity | 0.18 | -0.31 |
| Return On Asset | 0.0789 | -0.14 |
| Profit Margin | 0.29 % | (1.27) % |
| Operating Margin | 0.36 % | (5.51) % |
| Current Valuation | 1.08 T | 16.62 B |
| Shares Outstanding | 1.33 B | 571.82 M |
| Shares Owned By Insiders | 0.38 % | 10.09 % |
| Shares Owned By Institutions | 66.02 % | 39.21 % |
| Number Of Shares Shorted | 14.82 M | 4.71 M |
| Price To Book | 1.58 X | 9.51 X |
| Price To Sales | 2.68 X | 11.42 X |
| Revenue | 364.48 B | 9.43 B |
| Gross Profit | (28.09 B) | 27.38 B |
| EBITDA | 60.61 B | 3.9 B |
| Net Income | 97.15 B | 570.98 M |
| Cash And Equivalents | 35.81 B | 2.7 B |
| Total Debt | 128.27 B | 5.32 B |
| Debt To Equity | 0.26 % | 48.70 % |
| Current Ratio | 1.59 X | 2.16 X |
| Book Value Per Share | 437,446 X | 1.93 K |
| Cash Flow From Operations | 49.2 B | 971.22 M |
| Short Ratio | 4.45 X | 4.00 X |
| Earnings Per Share | 49.46 X | 3.12 X |
| Price To Earnings To Growth | 10.06 X | 4.89 X |
| Target Price | 513.0 | |
| Number Of Employees | 396.5 K | 18.84 K |
| Beta | 0.87 | -0.15 |
| Market Capitalization | 991.16 B | 19.03 B |
| Total Asset | 1.07 T | 29.47 B |
| Retained Earnings | 607.35 B | 9.33 B |
| Net Asset | 1.07 T |
Berkshire Hathaway Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Berkshire . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Accumulation Distribution | 51981.5 | |||
| Daily Balance Of Power | 0.4788 | |||
| Rate Of Daily Change | 1.01 | |||
| Day Median Price | 462.93 | |||
| Day Typical Price | 463.09 | |||
| Price Action Indicator | 2.13 | |||
| Period Momentum Indicator | 3.28 |
About Berkshire Hathaway Buy or Sell Advice
When is the right time to buy or sell Berkshire Hathaway? Buying financial instruments such as Berkshire Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
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Other Information on Investing in Berkshire Stock
Berkshire Hathaway financial ratios help investors to determine whether Berkshire Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Berkshire with respect to the benefits of owning Berkshire Hathaway security.