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Compare Stocks › BRK-B vs EPAM

Berkshire Hathaway Inc. (BRK-B) vs EPAM Systems, Inc. (EPAM): Which Is the Better Buy in 2026?

As of 2026-06-19, BRK-B is undervalued at $489, with a DCF intrinsic value of $644 and a margin of safety of 24%. EPAM is undervalued at $77, with an intrinsic value of $224 and a margin of safety of 66%. Of the two, EPAM has the wider margin of safety.

BRK-B
Berkshire Hathaway Inc.
$489.46
VS
EPAM
EPAM Systems, Inc.
$76.64

Rewards

BRK-B
  • ★Each dollar of retained earnings has created $3.95 of earning power — management is an exceptional capital allocator.
  • ★Net debt/EBITDA of -2.3x means the company holds more cash than debt — a net cash position.
EPAM
  • ★EPAM Systems, Inc. has maintained ROIC above 10% for 4 consecutive years, suggesting solid business economics.
  • ★EPAM Systems, Inc. scores 78/100 on the Economic Moat Score (Wide Moat), with reinvestment efficiency as the strongest competitive dimension.
  • ★Free cash flow has grown at a 17.0% CAGR over the past 4 years, demonstrating strong earnings power growth.

Risks

BRK-B
  • ⚠FCF yield of 5.8% suggests reasonable valuation assuming continued moderate growth.
  • ⚠PEG ratio of 10.06 indicates the stock is expensive relative to its expected growth — the market may be pricing in more growth than analysts project.
EPAM
  • ⚠Each dollar of retained earnings has produced only $0.21 of earning power — shareholders may have been better served by dividends.

Key Valuation Metrics

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BRK-B
EPAM
Valuation
$61.23B
Free Cash Flow
$692.90M
5.80%
FCF Yield
17.31%
14.56
Trailing P/E
11.01
22.79
Forward P/E
5.43
Quality & Moat
4.96%
ROIC
11.22%
10.50%
ROE
10.93%
27.78%
Gross Margin
29.05%
10.06
PEG Ratio
0.48
Balance Sheet Safety
Net cash
Net Debt / Equity
Net cash
N/A
Interest Coverage
N/A
-2.28
Net Debt / EBITDA
-1.02
0.00%
Dividend Yield
0.00%
BRK-B: 3Ties: 3EPAM: 6
BRK-BEPAM

Historical Fundamentals

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BRK-B

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

EPAM

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

$1 Retained Earnings Test

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BRK-B
$1.66
created per $1 retained over 3 years
Value Creator
Σ Retained
$252.19B
Δ Market Cap
+$417.89B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
EPAM
$-6.22
created per $1 retained over 3 years
Market Cap Declined
Σ Retained
$1.25B
Δ Market Cap
$-7.78B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Discounted Cash Flow (DCF) Analysis

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BRK-B
24.0% Margin of Safety
Price is 24.0% below estimated fair value
Current Price: $489.46
Fair Value: $643.73
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
EPAM
65.8% Margin of Safety
Price is 65.8% below estimated fair value
Current Price: $76.64
Fair Value: $223.85
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued

Reverse DCF — Market-Implied Growth

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BRK-B

What growth rate is the market pricing in at $489?

+0.4%
Market-Implied Owner Earnings Growth
Standard FCF implies +1.6%

The market implies +0.4% Owner Earnings growth, above historical trends.

Standard FCF implies a demanding +1.6%, reflecting heavy growth investment.

EPAM

What growth rate is the market pricing in at $77?

-8.1%
Market-Implied Owner Earnings Growth
Standard FCF implies -13.1%

The market implies -8.1% Owner Earnings growth, below historical trends — potential opportunity.

Standard FCF implies a more demanding -13.1%, reflecting heavy growth investment expected to generate future returns.

Economic Moat Score

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BRK-B
40/100
Narrow Moat
70+ Wide · 40-69 Narrow · <40 None

Narrow moat with reinvestment efficiency as the key competitive advantage. Improving revenue predictability would strengthen the moat.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
EPAM
78/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None

Wide moat with strength across all dimensions. Reinvestment Efficiency is the standout factor.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 5 years of fundamental data.

Forensic Accounting

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BRK-B
-2.41
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
EPAM
-2.58
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Ownership Breakdown

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BRK-B
Insiders 0.3%Institutions 67.3%Retail & Other 32.4%
No. of Institutional Holders5,905
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
EPAM
Insiders 3.2%Institutions 118.1%
No. of Institutional Holders794
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

Insider Buying Activity

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BRK-B
1
Buys (3M)
1
Buys (12M)
Total value (12M): $250,545
O'SULLIVAN MICHAEL J
General Counsel
$250,545
@ $467.43 · 2026-05-06
Open market purchases · includes direct & indirect ownership · excludes option exercises
EPAM
0
Buys (3M)
4
Buys (12M)
Total value (12M): $60,000
SHNAYDER BORIS
Officer
$15,000
@ $135.14 · 2025-10-31
SOLOMON LAWRENCE F
Officer
$15,000
@ $135.14 · 2025-10-31
ABRAHAMS GARY C
Officer
$15,000
@ $135.14 · 2025-10-31
DVORKIN VIKTAR
Officer
$15,000
@ $135.14 · 2025-10-31
YEZHKOV SERGEY
Officer
$7,499
@ $133.91 · 2025-04-30
YEZHKOV SERGEY
Officer
$7,499
@ $133.91 · 2025-04-30
Open market purchases · includes direct & indirect ownership · excludes option exercises

Open market purchases · includes direct & indirect ownership · excludes option exercises.

Insider Selling Activity

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BRK-B
0
Sells (3M)
0
Sells (12M)
No open market insider sales found.
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
EPAM
0
Sells (3M)
5
Sells (12M)
Total value (12M): $4.41M
SHNAYDER BORIS
Officer
$1.03M
@ $207.00 · 2025-12-10
ABRAHAMS GARY C
Officer
$107,574
@ $179.29 · 2025-11-17
YEZHKOV SERGEY
Officer
$227,058
@ $150.27 · 2025-10-21
YEZHKOV SERGEY
Officer
$1.52M
@ $150.86 · 2025-10-02
YEZHKOV SERGEY
Officer
$1.52M
@ $150.86 · 2025-10-02
SHNAYDER BORIS
Officer
$1.93M
@ $183.97 · 2025-05-22
YEZHKOV SERGEY
Officer
$3.58M
@ $199.07 · 2025-03-05
FEJES BALAZS
Officer
$1.08M
@ $200.00 · 2025-03-04
PETERSON JASON D
Chief Financial Officer
$277,046
@ $257.00 · 2025-01-27
PETERSON JASON D
Chief Financial Officer
$119,248
@ $257.00 · 2024-12-11
DVORKIN VIKTAR
Officer
$1.73M
@ $256.53 · 2024-12-11
PETERSON JASON D
Chief Financial Officer
$237,000
@ $237.00 · 2024-11-07
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

🎭 Mr. Market's Mood

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BRK-B
FearGreed
😏Greed(65/100)

"Market is optimistic — be cautious and ensure you have a margin of safety"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
EPAM
FearGreed
🥶Extreme Fear(17/100)

"Mr. Market is panicking — potential buying opportunity if fundamentals are strong"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

⚖️ Buffett Signal

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BRK-B
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Greed (65)
EPAM
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Extreme Fear (17)
View BRK-B Full AnalysisView EPAM Full Analysis

Frequently Asked Questions: BRK-B vs EPAM

Is Berkshire Hathaway Inc. or EPAM Systems, Inc. more undervalued in 2026?▼

Based on our discounted cash flow model, EPAM trades at a 65.8% margin of safety (intrinsic value $224 vs. price $77), compared to BRK-B's 24.0% margin of safety (intrinsic $644 vs. $489).

Which stock has a wider economic moat, Berkshire Hathaway Inc. or EPAM Systems, Inc.?▼

EPAM scores 78/100 (Wide moat), while BRK-B scores 40/100 (Narrow moat). The moat score measures competitive advantage durability across ROIC consistency, margin stability, revenue predictability, and reinvestment efficiency.

Is Berkshire Hathaway Inc. in financial distress?▼

BRK-B's Altman Z-Score of 2.5 places it in the Grey zone, signaling elevated bankruptcy risk. EPAM scores 7.9 (Safe zone). The Altman Z-Score is a five-factor model that predicts insolvency within two years; scores below 1.81 indicate significant distress.

Which company has better free cash flow, Berkshire Hathaway Inc. or EPAM Systems, Inc.?▼

EPAM Systems, Inc. (EPAM) generates a 17.3% free cash flow yield, compared to Berkshire Hathaway Inc.'s 5.8%. A higher FCF yield means the business converts more of its market value into cash that can be returned to shareholders or reinvested.

Which stock has higher return on invested capital, Berkshire Hathaway Inc. or EPAM Systems, Inc.?▼

EPAM earns 11.2% ROIC versus BRK-B's 5.0%. A higher ROIC means the company generates more profit per dollar of capital employed, a hallmark of durable competitive advantage in Buffett-style analysis.