BRK-B Research Update — September 16, 2026
Updated Thesis
Berkshire Hathaway is a diversified insurance-led conglomerate spanning insurance, freight rail, regulated utilities, manufacturing, retail and services, with a high-quality moat built on $177.5 billion of insurance float, substantial investment liquidity, decentralized operations and hard-to-replicate assets including BNSF’s more than 32,500 route miles. Fundamentals were solid in the most recent quarter, with revenue up 10.0% year over year and earnings up 107.5% year over year, although reported earnings are materially influenced by investment gains and insurance results can be volatile. The stock trades at $516.76, or 2.9x sales and 15.71x EV/EBITDA, and is classified as very expensive versus its five-year valuation history, but the $594.50 fair-value estimate and average analyst target imply 15.0% upside.
The investment grade as of this refresh is B — solid business quality. A-tier business, B-tier valuation; 15.0% upside to $594.50 fair value is attractive but below the threshold for high conviction.
Key Metrics at a Glance
- Revenue growth: +10.0% year over year
- Net margin: 22.3%
- Fair value upside: +15.0% to our estimate of $594
Current price: $516.76
These figures reflect our most recent data pull and are one input into a multi-factor valuation framework.
Our 12–18 Month Outlook
Quality companies held over a multi-year horizon benefit from compounding fundamentals and the patience to ride through short-term volatility. Berkshire Hathaway Inc. remains in our covered universe with a solid-quality assessment. We update research when material data changes — earnings revisions, management shifts, or regime changes in valuation — not on every price fluctuation.
Long-term accumulation of quality businesses at fair or better prices is the core of the Patient Accumulator approach. Research updates like this one inform whether to add, hold, or wait for a better zone — not whether to react to short-term price moves.
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