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BRK-B vs FTHY

BRK-B
Berkshire Hathaway Inc.
NEUTRAL
Price
$479.75
Market Cap
$1.03T
Sector
Financial Services
AI Confidence
85%
FTHY
First Trust High Yield Opportunities 2027 Term Fund
BEARISH
Price
$13.65
Market Cap
$502.0M
Sector
Financial Services
AI Confidence
90%

Valuation

P/E Ratio
BRK-B
15.46
FTHY
13.25
Forward P/E
BRK-B
22.06
FTHY
--
P/B Ratio
BRK-B
0.0
FTHY
--
P/S Ratio
BRK-B
2.79
FTHY
--
EV/EBITDA
BRK-B
-2.12
FTHY
--

Profitability

Gross Margin
BRK-B
26.15%
FTHY
0.0%
Operating Margin
BRK-B
32.96%
FTHY
0.0%
Profit Margin
BRK-B
18.03%
FTHY
0.0%
ROE
BRK-B
9.81%
FTHY
--
ROA
BRK-B
5.11%
FTHY
--

Growth

Revenue Growth
BRK-B
-0.7%
FTHY
--
Earnings Growth
BRK-B
-2.5%
FTHY
--

Financial Health

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

Dividends

Dividend Yield
BRK-B
--
FTHY
10.99%
Payout Ratio
BRK-B
0.0%
FTHY
145.63%

AI Verdict

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
FTHY BEARISH

FTHY exhibits severe fundamental weakness, highlighted by a critical Piotroski F-Score of 1/9, indicating poor financial health. The asset is significantly overvalued, trading at $13.65 despite an intrinsic value estimate of $7.21. Most concerning is the dividend payout ratio of 145.63%, which suggests the 10.99% yield is unsustainable and likely funded by capital erosion. Combined with a 0/100 technical trend, the data suggests a high risk of price correction.

Strengths
High current dividend yield of 10.99%
Positive long-term price performance (3Y change of +33.9%)
P/E ratio (13.25) is significantly lower than the sector average (38.69)
Risks
Unsustainable dividend payout ratio (145.63%)
Severe fundamental health deficiency (Piotroski F-Score 1/9)
Significant premium to intrinsic value ($13.65 vs $7.21)

Compare Another Pair

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

This page compares Berkshire Hathaway Inc. (BRK-B) and First Trust High Yield Opportunities 2027 Term Fund (FTHY) 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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