5-Star Stocks Poised to Pop: Berkshire Hathaway

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Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, insurance and holding company Berkshire Hathaway (NYS: BRK.A) (NYS: BRK.B) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Berkshire and see what CAPS investors are saying about the stock right now.

Berkshire facts

Headquarters (founded)

Omaha, Neb. (1889)

Market Cap

$214.7 billion

Industry

Conglomerates

Trailing-12-Month Revenue

$148.4 billion

Management

Chairman/CEO Warren Buffett (since 1970)
Vice Chairman Charles Munger (since 1978)

Return on Equity (average, past 3 years)

8.1%

Cash / Debt

$40.7 billion / $61.1 billion

Competitors

Blackstone Group (NYS: BX)
Everest Re Group (NYS: RE)
Progressive (NYS: PGR)


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 98% of the 6,747 members who have rated Berkshire believe the stock will outperform the S&P 500 going forward.

This past summer, one of those Fools, valuemoneygreen, succinctly summed up the Berkshire bull case for our community:

These guys and almost everyone in their organization has one goal ... to bring value to shareholders. No one has done it better. This is way of life for the management team at Berkshire. You want to beat the market for sure over the next 10 to 20 years? Invest in Berkshire! Berkshire is getting big so the law of big numbers will not let it surpass the gains on the S&P like it has done in the past but going forward (even without Buffett at the helm) Berkshire has the management to beat the market quite easily. The guys at Berkshire are programmed to find value and growth. Berkshire owns a ton of GREAT businesses. ...

Currently trading at a price to book of 1.2. I think it should have a [premium] of 1.5 times book.

Of course, that short pitch doesn't even come close to telling the entire story for Berkshire. You're in luck though. The Fool's brand new premium report on Berkshire tells all sides of the story for one of the most compelling companies in the world. You can grab your copy, which comes with free updates for 12 months, by just clicking here.

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.

The article 5-Star Stocks Poised to Pop: Berkshire Hathaway originally appeared on Fool.com.

Fool contributor Brian Pacampara has no positions in the stocks mentioned above. The Motley Fool owns shares of Berkshire Hathaway. Motley Fool newsletter services recommend Berkshire Hathaway. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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