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BRK-B vs PAI

BRK-B
Berkshire Hathaway Inc.
NEUTRAL
Price
$479.75
Market Cap
$1.03T
Sector
Financial Services
AI Confidence
85%
PAI
Western Asset Investment Grade Income Fund Inc.
BULLISH
Price
$12.25
Market Cap
$116.5M
Sector
Financial Services
AI Confidence
75%

Valuation

P/E Ratio
BRK-B
15.46
PAI
12.01
Forward P/E
BRK-B
22.06
PAI
--
P/B Ratio
BRK-B
0.0
PAI
0.93
P/S Ratio
BRK-B
2.79
PAI
16.33
EV/EBITDA
BRK-B
-2.12
PAI
--

Profitability

Gross Margin
BRK-B
26.15%
PAI
100.0%
Operating Margin
BRK-B
32.96%
PAI
86.33%
Profit Margin
BRK-B
18.03%
PAI
135.2%
ROE
BRK-B
9.81%
PAI
7.76%
ROA
BRK-B
5.11%
PAI
3.08%

Growth

Revenue Growth
BRK-B
-0.7%
PAI
3.1%
Earnings Growth
BRK-B
-2.5%
PAI
26.7%

Financial Health

Debt/Equity
BRK-B
0.19
PAI
--
Current Ratio
BRK-B
7.07
PAI
1.43
Quick Ratio
BRK-B
6.62
PAI
1.18

Dividends

Dividend Yield
BRK-B
--
PAI
5.14%
Payout Ratio
BRK-B
0.0%
PAI
61.67%

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
PAI BULLISH

PAI presents a compelling value opportunity, characterized by a stable Piotroski F-Score of 5/9 and a significant discount to both its Graham Number ($17.43) and Intrinsic Value ($30.09). While the technical trend is currently bearish (0/100) and insider sentiment is weak, the fundamental valuation metrics—specifically a P/E of 12.01 against a sector average of 34.89 and a Price/Book of 0.93—suggest the asset is heavily undervalued. Strong earnings growth of 26.7% and a sustainable 5.14% dividend yield provide a solid floor for investors.

Strengths
Significant undervaluation relative to Graham Number and Intrinsic Value
P/E ratio (12.01) is substantially lower than the sector average (34.89)
Strong earnings growth of 26.7% YoY
Risks
Severe bearish technical trend (0/100)
Low insider sentiment (40/100) suggesting lack of internal confidence
Sluggish revenue growth (3.10%) compared to sector peers

Compare Another Pair

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

This page compares Berkshire Hathaway Inc. (BRK-B) and Western Asset Investment Grade Income Fund Inc. (PAI) 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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