Berkshire Hathaway B (BRK.B) closed the most recent trading day at $489.06, moving -1.55% from the previous trading session. The stock's performance was ahead of the S&P 500's daily loss of 2.71%. On the other hand, the Dow registered a loss of 1.9%, and the technology-centric Nasdaq decreased by 3.56%.
Heading into today, shares of the company had lost 0.03% over the past month, lagging the Finance sector's gain of 0.28% and the S&P 500's gain of 3.5%.
The investment community will be paying close attention to the earnings performance of Berkshire Hathaway B in its upcoming release. The company is forecasted to report an EPS of $4.7, showcasing a 0.43% upward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $95.05 billion, reflecting a 2.21% rise from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $20.37 per share and revenue of $389.25 billion, indicating changes of -7.41% and +4.8%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for Berkshire Hathaway B. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there's been a 0.3% rise in the Zacks Consensus EPS estimate. Right now, Berkshire Hathaway B possesses a Zacks Rank of #3 (Hold).
Looking at valuation, Berkshire Hathaway B is presently trading at a Forward P/E ratio of 24.39. This expresses a premium compared to the average Forward P/E of 11.57 of its industry.
We can also see that BRK.B currently has a PEG ratio of 3.48. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The average PEG ratio for the Insurance - Property and Casualty industry stood at 2.47 at the close of the market yesterday.
The Insurance - Property and Casualty industry is part of the Finance sector. At present, this industry carries a Zacks Industry Rank of 33, placing it within the top 14% of over 250 industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Berkshire Hathaway Inc. (BRK.B): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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