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Berkshire Hathaway B (BRK.B) Ascends While Market Falls: Some Facts to Note

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In the latest market close, Berkshire Hathaway B (BRK.B - Free Report) reached $362.46, with a +1.63% movement compared to the previous day. The stock's performance was ahead of the S&P 500's daily loss of 0.57%. Meanwhile, the Dow gained 0.07%, and the Nasdaq, a tech-heavy index, lost 1.64%.

The company's shares have seen of 0% over the last month, not keeping up with the Finance sector's gain of 5.35% and the S&P 500's gain of 4%.

Analysts and investors alike will be keeping a close eye on the performance of Berkshire Hathaway B in its upcoming earnings disclosure. The company is forecasted to report an EPS of $1.78, showcasing a 41.64% downward movement from the corresponding quarter of the prior year. Meanwhile, our latest consensus estimate is calling for revenue of $76.73 billion, down 1.84% from the prior-year quarter.

Investors should also take note of any recent adjustments to analyst estimates for Berkshire Hathaway B. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Berkshire Hathaway B is currently a Zacks Rank #2 (Buy).

Looking at valuation, Berkshire Hathaway B is presently trading at a Forward P/E ratio of 19.63. This expresses a premium compared to the average Forward P/E of 12.45 of its industry.

Investors should also note that BRK.B has a PEG ratio of 2.8 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Insurance - Property and Casualty was holding an average PEG ratio of 1.11 at yesterday's closing price.

The Insurance - Property and Casualty industry is part of the Finance sector. This group has a Zacks Industry Rank of 33, putting it in the top 14% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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