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Berkshire Hathaway B (BRK.B) Gains But Lags Market: What You Should Know
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In the latest trading session, Berkshire Hathaway B (BRK.B - Free Report) closed at $359.57, marking a +0.23% move from the previous day. This change lagged the S&P 500's 0.71% gain on the day. At the same time, the Dow added 0.27%, and the tech-heavy Nasdaq gained 0.14%.
Prior to today's trading, shares of the company had gained 12.38% over the past month. This has outpaced the Finance sector's gain of 1.76% and the S&P 500's gain of 3.76% in that time.
Investors will be hoping for strength from Berkshire Hathaway B as it approaches its next earnings release. In that report, analysts expect Berkshire Hathaway B to post earnings of $2.98 per share. This would mark a year-over-year decline of 2.3%.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $12.86 per share and revenue of $30.86 billion. These totals would mark changes of +6.11% and -88.82%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Berkshire Hathaway B. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.27% higher. Berkshire Hathaway B currently has a Zacks Rank of #2 (Buy).
Looking at its valuation, Berkshire Hathaway B is holding a Forward P/E ratio of 27.91. Its industry sports an average Forward P/E of 14.7, so we one might conclude that Berkshire Hathaway B is trading at a premium comparatively.
It is also worth noting that BRK.B currently has a PEG ratio of 3.99. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Insurance - Property and Casualty stocks are, on average, holding a PEG ratio of 1.73 based on yesterday's closing prices.
The Insurance - Property and Casualty industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 75, which puts it in the top 30% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Berkshire Hathaway B (BRK.B) Gains But Lags Market: What You Should Know
In the latest trading session, Berkshire Hathaway B (BRK.B - Free Report) closed at $359.57, marking a +0.23% move from the previous day. This change lagged the S&P 500's 0.71% gain on the day. At the same time, the Dow added 0.27%, and the tech-heavy Nasdaq gained 0.14%.
Prior to today's trading, shares of the company had gained 12.38% over the past month. This has outpaced the Finance sector's gain of 1.76% and the S&P 500's gain of 3.76% in that time.
Investors will be hoping for strength from Berkshire Hathaway B as it approaches its next earnings release. In that report, analysts expect Berkshire Hathaway B to post earnings of $2.98 per share. This would mark a year-over-year decline of 2.3%.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $12.86 per share and revenue of $30.86 billion. These totals would mark changes of +6.11% and -88.82%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Berkshire Hathaway B. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.27% higher. Berkshire Hathaway B currently has a Zacks Rank of #2 (Buy).
Looking at its valuation, Berkshire Hathaway B is holding a Forward P/E ratio of 27.91. Its industry sports an average Forward P/E of 14.7, so we one might conclude that Berkshire Hathaway B is trading at a premium comparatively.
It is also worth noting that BRK.B currently has a PEG ratio of 3.99. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Insurance - Property and Casualty stocks are, on average, holding a PEG ratio of 1.73 based on yesterday's closing prices.
The Insurance - Property and Casualty industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 75, which puts it in the top 30% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.