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Berkshire Hathaway (WBO:BRKB) Quality Rank


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What is Berkshire Hathaway Quality Rank?

The Quality Rank measures the business quality of a company relative to other companies. It is ranked based on the strength of the balance sheet, as well as the profitability and growth of the business. The ranked companies are split in equal numbers and then ranked from 1 to 10, with 10 being the highest.

The rank of balance sheet (30%)

The rank of balance sheet is done through the ranking of:
  • Interest coverage
  • Zscore
  • Debt to revenue
  • Equity to asset
  • Cash to debt

The rank of Profitability (70%)

The ranking of Profitability is done by ranking:
  • Operating margin mean rank (10-year mean average profit margine)
  • Operating margin growth rank
  • Fscore
  • Predictability rank
  • Revenue growth rank (5 year), when the growth is higher than 25%, set it as 25%
  • Num of year profit (number of years that is profitable within the last 10 years)
  • ROIC median (10-year median of ROIC)

Berkshire Hathaway Quality Rank Related Terms

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Berkshire Hathaway (WBO:BRKB) Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Financial Services » Insurance » Berkshire Hathaway Inc (WBO:BRKB) » Definitions » Quality Rank
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AIG ACGL EQH ORI ESGR FIHL GSHD IGIC FGF SUND XTER:ALV XPAR:CS XSWX:ZURN MIL:G TSX:SLF OHEL:SAMPO XTER:TLX XSWX:SLHN LSE:AV. XAMS:NN
Traded in Other Exchanges
BRK.B:USA BRK.A:USA BRK_B:Peru BRKB:Mexico 1BRK:Italy BRYNd:UK 0R37:UK BRYN:Germany BRK:Canada BERK34:Brazil BRKB:Argentina
Address
3555 Farnam Street, Omaha, NE, USA, 68131
Website
https://www.berkshirehathaway.com
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 firms 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.