Berkshire Hathaway Inc (BRK-A)vsInternational Business Machines (IBM)
BRK-A
Berkshire Hathaway Inc
$717,386.81
+0.16%
FINANCIAL SERVICES · Cap: $1.03T
IBM
International Business Machines
$229.76
+0.06%
TECHNOLOGY · Cap: $217.40B
Smart Verdict
WallStSmart Research — data-driven comparison
Berkshire Hathaway Inc generates 445% more annual revenue ($375.39B vs $68.91B). BRK-A leads profitability with a 19.3% profit margin vs 15.6%. IBM appears more attractively valued with a PEG of 2.11. IBM earns a higher WallStSmart Score of 60/100 (C).
BRK-A
Buy59
out of 100
Grade: C
IBM
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for BRK-A.
Margin of Safety
-29.8%
Fair Value
$178.18
Current Price
$229.76
$51.58 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Reasonable price relative to book value
Earnings expanding 119.6% YoY
Conservative balance sheet, low leverage
Attractively priced relative to earnings
Generating 5.5B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 36 in profit
Generating 4.8B in free cash flow
Areas to Watch
4.4% revenue growth
Expensive relative to growth rate
Expensive relative to growth rate
Weak financial health signals
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : BRK-A
The strongest argument for BRK-A centers on Market Cap, Price/Book, EPS Growth. Profitability is solid with margins at 19.3% and operating margin at 14.3%.
Bull Case : IBM
The strongest argument for IBM centers on Market Cap, Return on Equity, Free Cash Flow. Profitability is solid with margins at 15.6% and operating margin at 13.8%.
Bear Case : BRK-A
The primary concerns for BRK-A are Revenue Growth, PEG Ratio.
Bear Case : IBM
The primary concerns for IBM are PEG Ratio, Piotroski F-Score, Debt/Equity. Debt-to-equity of 2.06 is elevated, increasing financial risk.
Key Dynamics to Monitor
BRK-A profiles as a value stock while IBM is a mature play — different risk/reward profiles.
BRK-A carries more volatility with a beta of 0.62 — expect wider price swings.
IBM is growing revenue faster at 9.5% — sustainability is the question.
BRK-A generates stronger free cash flow (5.5B), providing more financial flexibility.
Bottom Line
IBM scores higher overall (60/100 vs 59/100), backed by strong 15.6% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Berkshire Hathaway Inc
FINANCIAL SERVICES · INSURANCE - DIVERSIFIED · USA
Berkshire Hathaway Inc. is an American multinational conglomerate holding company headquartered in Omaha, Nebraska, United States. The company wholly owns GEICO, Duracell, Dairy Queen, BNSF, Lubrizol, Fruit of the Loom, Helzberg Diamonds, Long & Foster, FlightSafety International, Pampered Chef, Forest River, and NetJets, and also owns 38.6% of Pilot Flying J; and significant minority holdings in public companies Kraft Heinz Company (26.7%), American Express (18.8%), The Coca-Cola Company (9.32%), Bank of America (11.9%), and Apple (6.3%).
Visit Website →International Business Machines
TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA
International Business Machines Corporation (IBM) is an American multinational technology company headquartered in Armonk, New York, with operations in over 170 countries. The company began in 1911, founded in Endicott, New York, as the Computing-Tabulating-Recording Company (CTR) and was renamed International Business Machines in 1924. IBM is incorporated in New York. IBM produces and sells computer hardware, middleware and software, and provides hosting and consulting services in areas ranging from mainframe computers to nanotechnology. IBM is also a major research organization, holding the record for most annual U.S. patents generated by a business (as of 2020) for 28 consecutive years. Inventions by IBM include the automated teller machine (ATM), the floppy disk, the hard disk drive, the magnetic stripe card, the relational database, the SQL programming language, the UPC barcode, and dynamic random-access memory (DRAM). The IBM mainframe, exemplified by the System/360, was the dominant computing platform during the 1960s and 1970s.
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