Berkshire Hathaway Inc. PEG Ratio
Data as of June 01, 2026
PEG Ratio
10.06
PE Ratio (TTM)
14.13
EPS (TTM)
$33.59
Sector
Financial Services
How It's Calculated
10.06 = 14.13 ÷ Growth Rate
What This Means
Berkshire Hathaway Inc.'s PEG ratio of 10.06 is above 2, suggesting the stock may be overvalued relative to its growth rate. Investors are paying a premium for each unit of earnings growth.
About Berkshire Hathaway Inc.
Berkshire Hathaway Inc. (BRK-B) operates in the Financial Services sector, specifically in Insurance - Diversified. With a market capitalization of about $1.02T, it ranks as a mega-cap stock โ one of the largest publicly traded companies.
Shares recently traded near $474.48, within a 52-week range of $455.19 to $516.85 (-8.2% from the high, +4.2% from the low). Beta of 0.62 indicates relatively lower volatility versus the market.
Trailing profit margin is about 19.3%, signaling a solid profit margin for its industry.
Understanding This Metric
The PEG ratio adjusts the PE multiple for expected earnings growth, helping compare fast-growing and slow-growing names on a more equal footing. For Berkshire Hathaway Inc., a PEG near 1 is often described as fairly valued relative to growth, though the growth estimate itself can change quickly with guidance revisions.
Sector Comparison
Among Financial Services names on our S&P 100 coverage, Berkshire Hathaway Inc.'s PEG ratio of 10.06 can be compared with peers such as JPM (1.59), V (1.69), MA (1.58). Sector context helps interpretation, but each company's growth profile and balance sheet differ โ use multiple metrics before drawing conclusions. View all Financial Services stocks.
Key Takeaways
- BRK-B is grouped in the Financial Services sector for peer comparisons.
- Recent beta of 0.62 suggests lower-than-market price sensitivity.
- Trailing profit margin of 19.3% provides context for how much earnings support the headline multiple.
Related Tools & Guides
Explore calculators and guides connected to this metric, or view all metrics for BRK-B.
Other BRK-B Metrics
Frequently Asked Questions
What is BRK-B's PEG ratio?
PEG adjusts PE for expected earnings growth: PEG โ PE รท earnings growth rate. Berkshire Hathaway Inc.'s PEG of 10.06 is a shorthand for growth-at-a-reasonable-price comparisons.
Does PEG suggest growth at a reasonable price?
PEG above 1.5 (10.06) may mean the market prices in high growth โ or that growth estimates lag reality.
What are limitations of PEG for BRK-B?
PEG depends on a single growth estimate, ignores balance sheet risk, and can mislead when earnings are volatile. Use it with PE, margins, and Financial Services peers โ not as a standalone verdict.
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