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BMO vs BRK-B

BMO
Bank of Montreal
NEUTRAL
Price
$137.69
Market Cap
$98.97B
Sector
Financial Services
AI Confidence
72%
BRK-B
Berkshire Hathaway Inc.
NEUTRAL
Price
$479.75
Market Cap
$1.03T
Sector
Financial Services
AI Confidence
85%

Valuation

P/E Ratio
BMO
16.77
BRK-B
15.46
Forward P/E
BMO
12.28
BRK-B
22.06
P/B Ratio
BMO
1.56
BRK-B
0.0
P/S Ratio
BMO
3.03
BRK-B
2.79
EV/EBITDA
BMO
--
BRK-B
-2.12

Profitability

Gross Margin
BMO
0.0%
BRK-B
26.15%
Operating Margin
BMO
38.67%
BRK-B
32.96%
Profit Margin
BMO
26.67%
BRK-B
18.03%
ROE
BMO
10.12%
BRK-B
9.81%
ROA
BMO
0.6%
BRK-B
5.11%

Growth

Revenue Growth
BMO
15.5%
BRK-B
-0.7%
Earnings Growth
BMO
1.1%
BRK-B
-2.5%

Financial Health

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

Dividends

Dividend Yield
BMO
3.45%
BRK-B
--
Payout Ratio
BMO
56.29%
BRK-B
0.0%

AI Verdict

BMO NEUTRAL

The Advanced Deterministic Scorecard shows a weak Piotroski F-Score of 4/9, indicating marginal financial health, and the absence of an Altman Z-Score prevents a full solvency risk assessment. Despite solid profitability metrics like a 38.67% operating margin and strong revenue growth of 15.50%, earnings growth is inconsistent, with recent Q/Q declines and volatile quarterly surprises. The stock trades above its Graham defensive value of $127.87 at $137.69, yet below the analyst target of $127.91, while offering a solid 3.45% dividend yield with a sustainable 56.29% payout ratio. Technical trend sentiment is weak at 10/100, offsetting positive insider sentiment, resulting in a neutral overall stance.

Strengths
Strong operating margin of 38.67% indicates efficient cost management
Revenue growth of 15.50% YoY outpaces sector average of 34.80% despite macro headwinds
Dividend yield of 3.45% is attractive with a reasonable payout ratio of 56.29%
Risks
Low Piotroski F-Score of 4/9 signals weak financial health and potential balance sheet inefficiencies
Missing Altman Z-Score creates uncertainty around bankruptcy risk and capital structure stability
Earnings growth is inconsistent, with YoY growth at +56.3% but Q/Q EPS down -8.0% and recent negative surprises
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

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

This page compares Bank of Montreal (BMO) 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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