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The latest trading session saw Berkshire Hathaway B (BRK.B) ending at $458.51, denoting a +1.88% adjustment from its last day's close. The stock outperformed the S&P 500, which registered a daily gain of 1.83%. Meanwhile, the Dow gained 1.65%, and the Nasdaq, a tech-heavy index, added 2.45%.
Coming into today, shares of the company had lost 1.24% in the past month. In that same time, the Finance sector lost 3.1%, while the S&P 500 lost 3.31%.
Market participants will be closely following the financial results of Berkshire Hathaway B in its upcoming release. The company is predicted to post an EPS of $4.43, indicating a 13.01% growth compared to the equivalent quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $88.3 billion, down 5.43% from the year-ago period.
Investors should also take note of any recent adjustments to analyst estimates for Berkshire Hathaway B. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, the Zacks Consensus EPS estimate has remained steady. Right now, Berkshire Hathaway B possesses a Zacks Rank of #2 (Buy).
Digging into valuation, Berkshire Hathaway B currently has a Forward P/E ratio of 22.54. This represents a premium compared to its industry's average Forward P/E of 11.21.
Investors should also note that BRK.B has a PEG ratio of 3.22 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Insurance - Property and Casualty stocks are, on average, holding a PEG ratio of 1.39 based on yesterday's closing prices.
The Insurance - Property and Casualty industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 25, positioning it in the top 10% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.