SafetyMargin.ioSafetyMargin.io
BlogWatchlistCompare
Compare Stocks › BRK-B vs IBKR

Berkshire Hathaway Inc. (BRK-B) vs Interactive Brokers Group, Inc. (IBKR): Which Is the Better Buy in 2026?

As of 2026-09-17, BRK-B is fairly valued at $512, with a DCF intrinsic value of $590 and a margin of safety of 13%. IBKR is overvalued at $88, with an intrinsic value of $73 and a margin of safety of -21%. Of the two, BRK-B has the wider margin of safety.

BRK-B
Berkshire Hathaway Inc.
$511.70
VS
IBKR
Interactive Brokers Group, Inc.
$88.19

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 -1.8x means the company holds more cash than debt — a net cash position.
IBKR
  • ★Interactive Brokers Group, Inc. has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
  • ★Gross margin of 93.0% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
  • ★Interactive Brokers Group, Inc. scores 81/100 on the Economic Moat Score (Wide Moat), with roic consistency as the strongest competitive dimension.

Risks

BRK-B
  • ⚠FCF yield of 6.6% 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.
IBKR
  • ⚠Despite buyback spending, shares outstanding increased in 3 out of 4 years — stock-based compensation is offsetting repurchases.
  • ⚠Trailing P/E of 35.0x is 60% above the historical average of 21.9x — the stock trades at a premium to its own history.
  • ⚠Altman Z-Score of 0.43 places the company in the distress zone — financial patterns resemble those of companies that experienced bankruptcy.

Key Valuation Metrics

Learn more →
BRK-B
IBKR
Valuation
$71.98B
Free Cash Flow
N/A
6.57%
FCF Yield
N/A
12.87
Trailing P/E
34.99
23.06
Forward P/E
27.68
Quality & Moat
11.26%
ROIC
6.07%
12.12%
ROE
24.02%
30.33%
Gross Margin
93.04%
10.06
PEG Ratio
1.47
Balance Sheet Safety
Net cash
Net Debt / Equity
Net cash
N/A
Interest Coverage
N/A
-1.81
Net Debt / EBITDA
N/A
0.00%
Dividend Yield
0.40%
BRK-B: 3Ties: 1IBKR: 5
BRK-BIBKR

Historical Fundamentals

Learn more →
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.

IBKR

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

Learn more →
BRK-B
$1.64
created per $1 retained over 3 years
Value Creator
Σ Retained
$252.19B
Δ Market Cap
+$414.76B
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
IBKR
$10.24
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$2.07B
Δ Market Cap
+$21.20B
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

Learn more →
BRK-B
13.2% Margin of Safety
Price is 13.2% below estimated fair value
Current Price: $511.70
Fair Value: $589.58
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
IBKR
21.3% Overvalued
Price is 21.3% above estimated fair value
Current Price: $88.19
Fair Value: $72.71
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued

Reverse DCF — Market-Implied Growth

Learn more →
BRK-B

What growth rate is the market pricing in at $512?

+1.6%
Market-Implied Owner Earnings Growth
Standard FCF implies +0.6%

The market implies +1.6% Owner Earnings growth, above historical trends.

Standard FCF implies a demanding +0.6%, reflecting heavy growth investment.

IBKR

Requires positive FCF to compute implied growth rate.

Economic Moat Score

Learn more →
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.
IBKR
81/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None

Wide moat driven primarily by roic consistency. Revenue Predictability is the area most vulnerable to competitive pressure.

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

Learn more →
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.
IBKR
-2.34
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

Learn more →
BRK-B
Insiders 0.3%Institutions 66.9%Retail & Other 32.8%
No. of Institutional Holders5,947
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.
IBKR
Insiders 2.7%Institutions 88.5%Retail & Other 8.8%
No. of Institutional Holders1,504
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

Learn more →
BRK-B
1
Buys (3M)
2
Buys (12M)
Total value (12M): $500,617
O'SULLIVAN MICHAEL J
General Counsel
$250,072
@ $512.44 · 2026-08-12
O'SULLIVAN MICHAEL J
General Counsel
$250,545
@ $467.43 · 2026-05-06
Open market purchases · includes direct & indirect ownership · excludes option exercises
IBKR
3
Buys (3M)
8
Buys (12M)
Total value (12M): $44,364
CONKLING LORI A
Director
$2,363
@ $94.52 · 2026-09-01
CONKLING LORI A
Director
$2,176
@ $87.04 · 2026-08-03
CONKLING LORI A
Director
$2,201
@ $88.04 · 2026-07-01
CONKLING LORI A
Director
$2,152
@ $86.08 · 2026-06-01
CONKLING LORI A
Director
$1,991
@ $79.64 · 2026-05-01
CONKLING LORI A
Director
$1,710
@ $68.40 · 2026-04-01
CONKLING LORI A
Director
$5,391
@ $71.88 · 2026-03-02
BRIGHT JILL
Director
$26,380
@ $65.95 · 2025-10-23
BRIGHT JILL
Director
$29,634
@ $219.51 · 2025-01-31
Open market purchases · includes direct & indirect ownership · excludes option exercises

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

Insider Selling Activity

Learn more →
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
IBKR
0
Sells (3M)
4
Sells (12M)
Total value (12M): $5.77M
HARRIS LAWRENCE E
Director
$2.00M
@ $76.93 · 2026-04-28
HARRIS LAWRENCE E
Director
$734,505
@ $69.00 · 2025-10-29
HARRIS LAWRENCE E
Director
$996,998
@ $69.45 · 2025-10-28
HARRIS LAWRENCE E
Director
$2.04M
@ $67.86 · 2025-10-24
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

Learn more →
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.
IBKR
FearGreed
😐Neutral(51/100)

"Market is pricing this stock without strong emotion in either direction"

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

Learn more →
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)
IBKR
⚪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: Neutral (51)
View BRK-B Full AnalysisView IBKR Full Analysis

Frequently Asked Questions: BRK-B vs IBKR

Is Berkshire Hathaway Inc. or Interactive Brokers Group, Inc. more undervalued in 2026?▼

Based on our discounted cash flow model, BRK-B trades at a 13.2% margin of safety (intrinsic value $590 vs. price $512), compared to IBKR's -21.3% margin of safety (intrinsic $73 vs. $88).

Which stock has a wider economic moat, Berkshire Hathaway Inc. or Interactive Brokers Group, Inc.?▼

IBKR scores 81/100 (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 Interactive Brokers Group, Inc. in financial distress?▼

IBKR's Altman Z-Score of 0.4 places it in the Distress zone, signaling elevated bankruptcy risk. BRK-B scores 2.5 (Grey zone). The Altman Z-Score is a five-factor model that predicts insolvency within two years; scores below 1.81 indicate significant distress.

Which stock has higher return on invested capital, Berkshire Hathaway Inc. or Interactive Brokers Group, Inc.?▼

BRK-B earns 11.3% ROIC versus IBKR's 6.1%. A higher ROIC means the company generates more profit per dollar of capital employed, a hallmark of durable competitive advantage in Buffett-style analysis.

BRK-B vs IBKR: Which Is the Better Buy in 2026? | SafetyMargin.io