Berkshire Hathaway
Price
USD 405.00
Quality Score
34/40
Rating
BUYMarket Cap
$880000M
Fair Value Range
USD 420.00 – 480.00
Perception Gap
+0.80
Last Updated
2026-03-20
Perception Gap Signal
Score History
Signal Scorecard
Composite factor model · /40
The insurance float model is one of the most durable compounding machines in public markets. Structural advantages are multi-decade.
Buffett and Munger built an institution. The succession question is now resolved. Greg Abel has been prepared deliberately.
BNSF and BHRG represent irreplaceable infrastructure assets. Apple position provides asymmetric technology exposure.
Organic growth is modest by design. Capital is deployed where returns are attractive, not to maximise headline growth.
GAAP earnings are volatile due to mark-to-market investment gains. Operating earnings are the right lens and are consistently strong.
$168B cash position is extraordinary. No leverage risk. The balance sheet is a weapon, not a liability.
Insurance cycle risk is real. Railroad volumes are cyclical. Succession remains a long-term question despite preparation.
At current multiples, BRK-B trades at a modest discount to intrinsic value. The insurance float is consistently underappreciated by consensus.
Overall Verdict & Actionable Conclusion
This company presents a complex risk-reward profile. The qualitative moat is real, but the quantitative evidence does not yet support the valuation implied by the current price. A full verdict requires weighing the organic growth trajectory against the acquisition-inflated earnings picture. Our full actionable conclusion is available to intelligence tier subscribers.
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