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Berkshire Hathaway (MIL:1BRK) Cyclically Adjusted PS Ratio : 3.28 (As of May. 01, 2025)


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What is Berkshire Hathaway Cyclically Adjusted PS Ratio?

As of today (2025-05-01), Berkshire Hathaway's current share price is €468.55. Berkshire Hathaway's Cyclically Adjusted Revenue per Share for the quarter that ended in Dec. 2024 was €142.79. Berkshire Hathaway's Cyclically Adjusted PS Ratio for today is 3.28.

The historical rank and industry rank for Berkshire Hathaway's Cyclically Adjusted PS Ratio or its related term are showing as below:

MIL:1BRK' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 1.92   Med: 2.54   Max: 3.59
Current: 3.59

During the past years, Berkshire Hathaway's highest Cyclically Adjusted PS Ratio was 3.59. The lowest was 1.92. And the median was 2.54.

MIL:1BRK's Cyclically Adjusted PS Ratio is ranked worse than
88.22% of 399 companies
in the Insurance industry
Industry Median: 1.04 vs MIL:1BRK: 3.59

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Berkshire Hathaway's adjusted revenue per share data for the three months ended in Dec. 2024 was €44.917. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is €142.79 for the trailing ten years ended in Dec. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Berkshire Hathaway Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Berkshire Hathaway's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Berkshire Hathaway Cyclically Adjusted PS Ratio Chart

Berkshire Hathaway Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.42 2.70 2.59 2.67 3.05

Berkshire Hathaway Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.67 3.03 2.85 3.15 3.05

Competitive Comparison of Berkshire Hathaway's Cyclically Adjusted PS Ratio

For the Insurance - Diversified subindustry, Berkshire Hathaway's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Berkshire Hathaway's Cyclically Adjusted PS Ratio Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Berkshire Hathaway's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Berkshire Hathaway's Cyclically Adjusted PS Ratio falls into.


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Berkshire Hathaway Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Berkshire Hathaway's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=468.55/142.79
=3.28

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Berkshire Hathaway's Cyclically Adjusted Revenue per Share for the quarter that ended in Dec. 2024 is calculated as:

For example, Berkshire Hathaway's adjusted Revenue per Share data for the three months ended in Dec. 2024 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Dec. 2024 (Change)*Current CPI (Dec. 2024)
=44.917/133.1571*133.1571
=44.917

Current CPI (Dec. 2024) = 133.1571.

Berkshire Hathaway Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201503 18.238 99.621 24.378
201506 18.570 100.684 24.559
201509 21.322 100.392 28.281
201512 19.343 99.792 25.810
201603 19.001 100.470 25.183
201606 19.584 101.688 25.645
201609 21.262 101.861 27.795
201612 22.353 101.863 29.220
201703 24.694 102.862 31.967
201706 20.738 103.349 26.719
201709 20.566 104.136 26.298
201712 20.194 104.011 25.853
201803 16.585 105.290 20.975
201806 23.784 106.317 29.788
201809 27.169 106.507 33.967
201812 10.069 105.998 12.649
201903 29.143 107.251 36.183
201906 26.576 108.070 32.745
201909 28.134 108.329 34.582
201912 35.629 108.420 43.758
202003 -3.350 108.902 -4.096
202006 35.601 108.767 43.584
202009 33.747 109.815 40.920
202012 36.541 109.897 44.275
202103 25.675 111.754 30.592
202106 35.142 114.631 40.821
202109 28.467 115.734 32.752
202112 44.658 117.630 50.553
202203 28.268 121.301 31.031
202206 3.981 125.017 4.240
202209 29.119 125.227 30.963
202212 39.796 125.222 42.318
202303 51.368 127.348 53.711
202306 53.302 128.729 55.136
202309 27.385 129.860 28.080
202312 55.166 129.419 56.759
202403 39.094 131.776 39.504
202406 50.653 132.554 50.884
202409 47.457 133.029 47.503
202412 44.917 133.157 44.917

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Berkshire Hathaway  (MIL:1BRK) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Berkshire Hathaway Cyclically Adjusted PS Ratio Related Terms

Thank you for viewing the detailed overview of Berkshire Hathaway's Cyclically Adjusted PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Berkshire Hathaway Business Description

Address
3555 Farnam Street, Omaha, NE, USA, 68131
Berkshire Hathaway is a holding company with a wide array of subsidiaries engaged in diverse activities. The firm's core business segment is insurance, run primarily through Geico, Berkshire Hathaway Reinsurance Group, and Berkshire Hathaway Primary Group. Berkshire has used the excess cash thrown off from these and its other operations over the years to acquire Burlington Northern Santa Fe (railroad), Berkshire Hathaway Energy (utilities and energy distributors), and the companies that make up its manufacturing, service, and retailing operations (which include five of Berkshire's largest noninsurance pretax earnings generators: Precision Castparts, Lubrizol, Clayton Homes, Marmon, and IMC/ISCAR). The conglomerate is unique in that it is run on a completely decentralized basis.

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