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

Berkshire Hathaway Inc. (BRK-B) vs Principal Financial Group, Inc. (PFG)

BRK-B
Berkshire Hathaway Inc.
$481.48
VS
PFG
Principal Financial Group, Inc.
$85.90

Rewards

BRK-B
  • ★Each dollar of retained earnings has created $1.66 of market value — management is creating shareholder value.
  • ★Net debt/EBITDA of -2.2x means the company holds more cash than debt — a net cash position.
PFG
  • ★Free cash flow has grown at a 13.2% CAGR over the past 4 years, demonstrating strong earnings power growth.
  • ★Share count has been reduced by 11% over the past 4 years through buybacks, increasing each share's claim on earnings.
  • ★FCF yield of 23.5% is historically attractive — the business generates significant cash relative to its price.

Risks

BRK-B
  • ⚠Berkshire Hathaway Inc. scores only 16/100 on the Economic Moat Score, suggesting limited durable competitive advantages.
  • ⚠Trailing P/E of 15.5x is 75% above the historical average of 8.9x — the stock trades at a premium to its own history.
PFG
  • ⚠Principal Financial Group, Inc. scores only 20/100 on the Economic Moat Score, suggesting limited durable competitive advantages.
  • ⚠Altman Z-Score of 0.15 places the company in the distress zone — financial patterns resemble those of companies that experienced bankruptcy.

Key Valuation Metrics

Learn more →
BRK-B
PFG
Valuation
$36.80B
Free Cash Flow
$4.44B
3.54%
FCF Yield
23.52%
15.50
Trailing P/E
16.36
22.11
Forward P/E
8.37
Quality & Moat
11.31%
ROIC
10.42%
9.30%
ROE
9.56%
26.15%
Gross Margin
44.24%
N/A
PEG Ratio
N/A
Balance Sheet Safety
0.19
Debt / Equity
0.35
N/A
Interest Coverage
N/A
-2.15
Net Debt / EBITDA
-0.79
N/A
Dividend Yield
3.64%
BRK-B: 5Ties: 2PFG: 3
BRK-BPFG

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.

PFG

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

$1 Retained Earnings Test

Learn more →
BRK-B
$1.66
created per $1 retained over 3 years
Value Creator
Σ Retained
$252.19B
Δ Market Cap
+$417.98B
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
PFG
$-0.89
created per $1 retained over 3 years
Market Cap Declined
Σ Retained
$1.41B
Δ Market Cap
$-1.26B
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
31.1% Margin of Safety
Price is 31.1% below estimated fair value
Current Price: $481.48
Fair Value: $699.14
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
PFG
35.2% Margin of Safety
Price is 35.2% below estimated fair value
Current Price: $85.90
Fair Value: $132.52
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 $481?

+0.7%
Market-Implied Owner Earnings Growth
Standard FCF implies +8.8%

The market implies +0.7% Owner Earnings growth, above historical trends.

Standard FCF implies a demanding +8.8%, reflecting heavy growth investment.

PFG

What growth rate is the market pricing in at $86?

+3.6%
Market-Implied Owner Earnings Growth
Standard FCF implies -16.0%

The market implies +3.6% Owner Earnings growth, above historical trends.

Standard FCF implies a demanding -16.0%, reflecting heavy growth investment.

Economic Moat Score

Learn more →
BRK-B
16/100
No Moat
70+ Wide · 40-69 Narrow · <40 None

No durable moat detected, though reinvestment efficiency shows some competitive positioning. The business lacks consistent evidence of sustainable advantages.

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.
PFG
20/100
No Moat
70+ Wide · 40-69 Narrow · <40 None

No durable moat detected, though reinvestment efficiency shows some competitive positioning. The business lacks consistent evidence of sustainable advantages.

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.

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.
PFG
-2.51
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 66.2%Retail & Other 33.5%
No. of Institutional Holders5,852
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.
PFG
Insiders 1.1%Institutions 75.6%Retail & Other 23.3%
No. of Institutional Holders1,206
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
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises
PFG
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
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
PFG
2
Sells (3M)
3
Sells (12M)
Total value (12M): $1.74M
STRABLE-SOETHOUT DEANNA D
Chief Executive Officer
$697,300
@ $95.00 · 2026-01-30
STRABLE-SOETHOUT DEANNA D
Chief Executive Officer
$884,616
@ $95.12 · 2026-01-29
CHEONG WEE YEE
Officer
$160,470
@ $85.04 · 2025-11-12
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
😐Neutral(48/100)

"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.
PFG
FearGreed
😐Neutral(46/100)

"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: Neutral (48)
PFG
⚪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 (46)
View BRK-B Full AnalysisView PFG Full Analysis
Berkshire Hathaway Inc. (BRK-B) vs Principal Financial Group, Inc. (PFG) Stock Comparison | SafetyMargin.io