The risks of investing in Berkshire Hathaway Inc. (BRK-B)

From the Sep 29, 2026 report · Read the full report

Risks flagged in the analysis

Overvaluation is confirmed by a PEG ratio of 10.06, which is significantly above the 1.0 threshold indicating fair value.
Technical indicators show bearish momentum with the MACD histogram at -$0.88 and price below the 50-day SMA.
The company's high exposure to equities (Investments: $685.67B) increases vulnerability during market downturns.

Bear case

The PEG ratio of 10.06 indicates significant overvaluation relative to growth, conflicting with the company's fundamental metrics.
The MACD histogram of -$0.88 confirms negative momentum acceleration, with the current price of $503.09 below the 50-day SMA at $506.53.
Debt-to-equity ratio of 17.14 suggests high leverage, though the data appears inconsistent with standard metrics.

Risk in numbers

Beta: 0.6
Debt / equity: 17.1
Annual volatility: 14.7%
Largest fall in 12 months: -9.4%

52-week range

$464.01$537.74

Frequently asked questions

What are the risks of investing in BRK-B?

Overvaluation is confirmed by a PEG ratio of 10.06, which is significantly above the 1.0 threshold indicating fair value. Technical indicators show bearish momentum with the MACD histogram at -$0.88 and price below the 50-day SMA. The company's high exposure to equities (Investments: $685.67B) increases vulnerability during market downturns.

Data as of Sep 29, 2026. Sources: Yahoo Finance (prices, financial statements and analysts' estimates) and the U.S. Treasury (10-year yield). Indicators and valuation are computed without AI.

AI-generated informational content. Not financial advice or a personalised investment recommendation. Investing involves risk, including loss of capital.

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