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AROW vs BRK-B

AROW
Arrow Financial Corporation
NEUTRAL
Price
$32.48
Market Cap
$534.1M
Sector
Financial Services
AI Confidence
78%
BRK-B
Berkshire Hathaway Inc.
NEUTRAL
Price
$479.75
Market Cap
$1.03T
Sector
Financial Services
AI Confidence
85%

Valuation

P/E Ratio
AROW
12.26
BRK-B
15.46
Forward P/E
AROW
7.5
BRK-B
22.06
P/B Ratio
AROW
1.24
BRK-B
0.0
P/S Ratio
AROW
3.37
BRK-B
2.79
EV/EBITDA
AROW
--
BRK-B
-2.12

Profitability

Gross Margin
AROW
0.0%
BRK-B
26.15%
Operating Margin
AROW
40.7%
BRK-B
32.96%
Profit Margin
AROW
27.76%
BRK-B
18.03%
ROE
AROW
10.56%
BRK-B
9.81%
ROA
AROW
1.0%
BRK-B
5.11%

Growth

Revenue Growth
AROW
37.0%
BRK-B
-0.7%
Earnings Growth
AROW
216.5%
BRK-B
-2.5%

Financial Health

Debt/Equity
AROW
--
BRK-B
0.19
Current Ratio
AROW
--
BRK-B
7.07
Quick Ratio
AROW
--
BRK-B
6.62

Dividends

Dividend Yield
AROW
3.69%
BRK-B
--
Payout Ratio
AROW
43.02%
BRK-B
0.0%

AI Verdict

AROW NEUTRAL

AROW's Piotroski F-Score of 3/9 indicates weak financial health, signaling potential distress in operational efficiency and capital structure. The absence of an Altman Z-Score raises concern about bankruptcy risk, especially given the lack of available debt and liquidity metrics. Despite strong profitability (27.76% margin) and explosive earnings growth (216.5% YoY), the stock trades at a premium to its Graham Number ($39.57) and intrinsic value ($78.17), suggesting overvaluation relative to conservative valuation models. The technical trend is bearish, and insider activity is neutral, with no recent trades. Analyst consensus is a hold, reflecting cautious sentiment.

Strengths
Exceptional profit margin of 27.76% and high operating margin of 40.70%
Impressive earnings growth of 216.5% YoY and 213.5% Q/Q
Strong historical earnings beat rate (3 out of last 4 quarters) with average surprise of 11.81%
Risks
Piotroski F-Score of 3/9 indicates weak financial health and operational instability
No Altman Z-Score available, raising unquantified bankruptcy risk
Stock trades below intrinsic value ($78.17) but above Graham Number ($39.57), suggesting overvaluation relative to conservative benchmarks
BRK-B NEUTRAL

The deterministic health profile is weak, highlighted by a Piotroski F-Score of 3/9, indicating deteriorating operational efficiency and profitability trends. While the company maintains a fortress balance sheet with a Debt/Equity ratio of 0.19 and a Current Ratio of 7.07, the stock is trading at a significant premium to its growth-based intrinsic value of $217.21. Negative YoY revenue and earnings growth, coupled with a bearish technical trend, offset the positive analyst sentiment and long-term historical performance.

Strengths
Exceptional liquidity with a Current Ratio of 7.07
Very low leverage (Debt/Equity 0.19)
Strong operating margins at 32.96%
Risks
Significant overvaluation relative to intrinsic value ($479.75 vs $217.21)
Negative YoY earnings growth (-2.50%) and revenue growth (-0.70%)
Weak Piotroski F-Score (3/9) suggesting declining financial health trends

Compare Another Pair

AROW vs BRK-B: Head-to-Head Comparison

This page compares Arrow Financial Corporation (AROW) and Berkshire Hathaway Inc. (BRK-B) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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