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BRK-B vs LMFA

BRK-B
Berkshire Hathaway Inc.
NEUTRAL
Price
$479.75
Market Cap
$1.03T
Sector
Financial Services
AI Confidence
85%
LMFA
LM Funding America, Inc.
BEARISH
Price
$0.28
Market Cap
$4.5M
Sector
Financial Services
AI Confidence
95%

Valuation

P/E Ratio
BRK-B
15.46
LMFA
--
Forward P/E
BRK-B
22.06
LMFA
-0.07
P/B Ratio
BRK-B
0.0
LMFA
0.13
P/S Ratio
BRK-B
2.79
LMFA
0.59
EV/EBITDA
BRK-B
-2.12
LMFA
--

Profitability

Gross Margin
BRK-B
26.15%
LMFA
10.96%
Operating Margin
BRK-B
32.96%
LMFA
-494.61%
Profit Margin
BRK-B
18.03%
LMFA
0.0%
ROE
BRK-B
9.81%
LMFA
-84.01%
ROA
BRK-B
5.11%
LMFA
-56.57%

Growth

Revenue Growth
BRK-B
-0.7%
LMFA
8.6%
Earnings Growth
BRK-B
-2.5%
LMFA
--

Financial Health

Debt/Equity
BRK-B
0.19
LMFA
0.71
Current Ratio
BRK-B
7.07
LMFA
1.18
Quick Ratio
BRK-B
6.62
LMFA
0.08

Dividends

Dividend Yield
BRK-B
--
LMFA
--
Payout Ratio
BRK-B
0.0%
LMFA
0.0%

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
LMFA BEARISH

LMFA is in a state of severe financial distress, evidenced by a critical Piotroski F-Score of 1/9. The company exhibits catastrophic operational inefficiency with an operating margin of -494.61% and a near-total lack of liquid assets, as shown by a Quick Ratio of 0.08. While the Price-to-Book ratio of 0.13 suggests a deep discount, the consistent earnings misses and a 99.2% decline in value over five years indicate a classic value trap. The single analyst 'Buy' rating is fundamentally unsupported by the current trajectory of the business.

Strengths
Extremely low Price-to-Book ratio (0.13)
Positive year-over-year revenue growth (8.60%)
Current ratio remains above 1.0 (1.18)
Risks
Severe liquidity crisis indicated by a Quick Ratio of 0.08
Unsustainable operating losses (Operating Margin -494.61%)
Consistent and massive earnings misses (most recent surprise -280%)

Compare Another Pair

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

This page compares Berkshire Hathaway Inc. (BRK-B) and LM Funding America, Inc. (LMFA) 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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