Fair Value Check · Market · 2026-10-29

Fair Value Check: Berkshire Hathaway is overvalued on our numbers

Berkshire Hathaway (BRK.B) closed at $540.60. Torvanta's fair value estimate is $333.9, with a range of $251.8 to $473.2, so the stock trades 62% above the estimate: overvalued on our numbers.

Investigations

AMZN

The question

Sales are growing, but the money owed to the company is growing faster. Is revenue turning into cash?

What the filings show

Receivables grew faster than sales. Receivables rose 53% from a year earlier to $88.1 billion ($12.6 billion in the latest quarter alone), against revenue growth of 20%.
Insiders sold, none bought. Executives and directors sold about $365 million of stock in the 90 days to Oct 29, the largest seller $346.5 million. Sales are often planned or for taxes; purchases are rarer.

What to watch

The next quarterly report (the quarter ending in September, filing due around November 2026): whether receivables and contract assets grow more slowly than sales.

Sources: earnings release (8-K, 2026-07-30) · 10-Q (2026-07-31)

This week's check

Company	Price	Fair value	Fair value range	Price vs fair value	Valuation
Berkshire Hathaway (BRK.B)	$540.6	$333.9	$251.8 to $473.2	+62%	Overvalued

Fair value is Torvanta's estimate of what the business is worth per share, built from the company's own SEC filings. The range shows how much the estimate moves under reasonable changes to its assumptions.

10 more of the largest companies

Company	Price	Valuation	Fair value
Nvidia (NVDA)	$214.3	Fairly valued	Subscribers
Apple (AAPL)	$345.2	Overvalued	Subscribers
Alphabet (GOOGL)	$296.2	Overvalued	Subscribers
Microsoft (MSFT)	$554.9	Overvalued	Subscribers
Amazon (AMZN)	$254.1	Overvalued	Subscribers
Broadcom (AVGO)	$343.1	Fairly valued	Subscribers
Meta Platforms (META)	$616.0	Fairly valued	Subscribers
Eli Lilly (LLY)	$1,298.2	Overvalued	Subscribers
Micron Technology (MU)	$960.6	Undervalued	Subscribers
Advanced Micro Devices (AMD)	$568.6	Overvalued	Subscribers

Undervalued means Torvanta's fair value is at least 25% above the price; Overvalued means it is at least 20% below; Fairly valued is in between.

What this means

Across the 60 largest S&P 500 companies with a reliable estimate, 10 look undervalued on our numbers and 28 overvalued.
A fair value is a range, not a price target: a stock can stay above or below it for a long time, and valuation says little about timing on its own.
Companies whose filings don't support a reliable estimate (some banks, insurers and early-stage businesses) are left out rather than guessed.

Every S&P 500 company, checked after every close

Subscribers see Torvanta's fair value, rating and 12-month estimate for about 1,500 U.S. stocks. Start with a 14-day free trial.

See plans

Prices from Torvanta's end-of-day data; fair values are Torvanta estimates built from each company's SEC filings and can be wrong. Research only, not investment advice or a recommendation to buy or sell any security. Rankings change as data changes and can be wrong. Torvanta and its founder may hold positions in securities discussed, and trade only after the information is published to all subscribers. Past performance does not guarantee future results.

More research

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Why it moved, October 28: Fortinet -27%, F5 -20%, ServiceNow -19% 2026-10-28
Midweek Movers: where the model's view shifted this week 2026-10-28
Insider & Short-Selling Daily, October 27 2026-10-27
Market brief, October 27: S&P 500 rises 0.6% as chip stocks rally 2026-10-27
Why it moved, October 27: Xylem -14%, Pentair +13%, Boeing -11% 2026-10-27
Dividend Watch, October 27: Vici Properties leads covered yields 2026-10-27
Insider & Short-Selling Daily, October 26 2026-10-26
Market brief, October 26: S&P 500 rises 0.7% as chip stocks rally 2026-10-26

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