Stock Price & Analysis

Based on the provided data and recent market activity, here's my analysis of whether to buy or sell BRK.B:

BRK.B appears to be a hold or cautious buy at current levels around $463. The stock has shown resilience with a +0.73% gain in the last regular trading session , though it's currently trading at relatively high valuations compared to historical averages.

Key Considerations:

1. Strong Cash Position: Berkshire is sitting on $325 billion in cash and short-term investments, providing significant flexibility for opportunistic investments and generating substantial interest income in the current rate environment.

2. Recent Performance: The stock has pulled back about 7% from its 52-week highs, potentially offering a more attractive entry point for long-term investors.

3. Valuation Concerns: The current price-to-book value is near its highest level in a decade, suggesting the stock isn't particularly cheap by historical standards.

4. Insurance Operations: Through Q3 2024, Berkshire generated $77.3 billion in revenue from its insurance operations, demonstrating continued strength in its core business.

5. Recent Investment Activity: Warren Buffett has been a net seller of stocks over the past eight quarters, suggesting he sees limited value in the current market environment.

Given these factors, while BRK.B remains a solid long-term holding, investors might want to consider building positions gradually rather than making large purchases at current levels.

Based on the provided data and recent market analysis, here is the price prediction for BRK.B stock in 2025:

BRK.B is expected to reach $536 by end of 2025, representing a 17% upside from current price of $463.19, driven by strong insurance earnings from Geico and potential economic benefits from its cyclical businesses. The stock's technical indicators show neutral RSI at 52.24 with positive MACD of 0.44, suggesting steady upward momentum. However, Warren Buffett's recent pause in share buybacks due to elevated valuations above intrinsic value warrants some caution.

The S1 support level for BRK.B Stock is $444.39 ,The R1 resistant level for BRK.B Stock is $469.66.

As of the end of day on 2025-01-24, the price of BRK.B Stock was $463.131.

The target price for BRK.B Stock according to analyst rating is 490.50, with the highest price target at 531.00 and the lowest at 450.00. Analysts have a Moderate Buy rating on BRK.B Stock overall.

The market cap of BRK.B is $615.3B.

Based on the provided data and market context, I'll analyze whether BRK.B is overvalued through multiple lenses:

Valuation Metrics BRK.B's current valuation shows:

• P/E ratio: 9.32x (Q3 2024)
• EV/EBITDA: 11.95x
• Price/Book: 1.58x
• Price/Sales: 2.69x

Financial Performance

• Net income has been strong and growing: $12.7B in Q1 2024, $30.3B in Q2, and $26.3B in Q3
• ROE remains healthy at 18.52% in Q3 2024
• Strong cash position with $325.2B in cash and short-term investments

{SNAPSHOT:symbol=BRK.B, type=0}

Technical Analysis Current price is trading near its Fibonacci pivot point of $457.02, with resistance at $469.66 and support at $444.39. RSI at 52.24 indicates neutral momentum.

Conclusion BRK.B is NOT overvalued based on its P/E ratio being significantly below market averages, strong financial performance, and Warren Buffett himself recently refraining from share buybacks due to valuation concerns. The company maintains excellent financial health with substantial cash reserves and consistent earnings growth, though current price-to-book ratio is slightly elevated compared to historical averages.

Berkshire Hathaway Inc. and its subsidiaries are engaged in diverse business activities, including insurance and reinsurance, utilities and energy, freight rail transportation, manufacturing, services and retailing. The Company’s segments include Insurance; Railroad (BNSF); Berkshire Hathaway Energy (BHE); Pilot Travel Centers (Pilot); Manufacturing; McLane Company (McLane), and Service and retailing. The Insurance segment includes GEICO, Berkshire Hathaway Primary Group and Berkshire Hathaway Reinsurance Group. The BNSF segment includes operation of railroad systems in North America through Burlington Northern Santa Fe, LLC. The BHE segment offers regulated electric and gas utilities. The Manufacturing segment manufacturers various products, including industrial, consumer and building products. The McLane segment is engaged in wholesale distribution of groceries and non-food items. The Pilot segment is an operator of travel centers in North America and a marketer of wholesale fuel.

Based on the provided data and market research, here's a comprehensive analysis for BRK.B's price prediction in 2030:

Berkshire Hathaway's Class B stock is projected to reach $536 by early 2026, representing a 17% upside from current levels. Extrapolating this growth trajectory and considering multiple factors, BRK.B could reach approximately $750-800 by 2030, driven by its strong insurance operations, substantial cash position for strategic acquisitions, and continued operational excellence.

The company's massive $325 billion cash reserve provides significant firepower for value-creating acquisitions and share buybacks, which should contribute to sustained long-term growth.

BRK.B has a total of 396500 employees.