BRK-BBULLISH

BRK-B Debt-to-Equity Ratio Analysis

0.18x

Higher than 12% of Financial Services sector peers

Updated 513h ago·SEC filings & market data

Key Takeaway

A debt-to-equity ratio of 0.18x means Berkshire Hathaway uses only 18 cents of debt for every $1 of shareholder equity, so the company is lightly leveraged.

Sector Performance

12th percentile

BRK-B

0.18x

Sector Median

0.46x

Sector Avg

0.94x

Prior Period

0.20x(May 2026)

↑ Improving

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Deep Analysis

A debt-to-equity ratio of 0.18x means Berkshire Hathaway uses only 18 cents of debt for every $1 of shareholder equity, so the company is lightly leveraged.

This is far below the financial services sector median of 0.68x, placing the firm in the 11th percentile among peers, meaning most similar companies carry more debt. The trend data is not available: both the year-over-year change and the quarter-over-quarter change are reported as N/A, so no recent direction can be confirmed. The low ratio combined with an unknown trend suggests limited financial risk from leverage, but also leaves open whether the firm is deliberately under-leveraging or simply not expanding debt. Because the level is conservative and there is no observed momentum, the metric neither adds risk nor creates upside pressure. This supports the overall NEUTRAL verdict, as the debt profile is stable but not a driver of expected outperformance.

Frequently Asked Questions

What does the Debt-to-Equity Ratio tell investors about BRK-B?

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

How is the Debt-to-Equity Ratio calculated?

Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.

How does BRK-B's Debt-to-Equity Ratio compare to its sector?

BRK-B's Debt-to-Equity Ratio of 0.18x compares to a Financial Services sector median of 0.46x, placing it in the 12th percentile.

Who are BRK-B's closest peers by Debt-to-Equity Ratio?

The closest Financial Services peers by Debt-to-Equity Ratio include: HSBC (0.52x), AIZ (0.38x), AMP (0.53x), RJF (0.35x), AFL (0.35x).

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Learn More About Debt-to-Equity Ratio

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Debt/Equity Ratio: How Much Debt Is Too Much?

The debt to equity ratio explained: why context, interest coverage, and sector norms matter far more than the raw number when assessing debt risk.

The Formula

Total Debt / Shareholders' Equity

Why It Matters

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.