Data status · Using emergency seed prices (table 2026-08-20) — daily feed unavailable · Filings are seeded (EDGAR not yet applied). Emergency seeds dated Aug 20, 2026.
Sources →Philosophy
This desk is an independent, unofficial application of ideas discussed in Berkshire’s public shareholder letters. The model is imperfect. The letters on Berkshire’s own site remain the primary source. Nothing here is a quotation of those letters.
Intrinsic value is estimated as the sum of two columns: investments at market (cash, T-bills, public equities, Japan trading houses, other holdings) plus the equity value of the wholly-owned operating businesses (capitalized pretax earnings) and the insurance underwriting franchise, less parent-level bonds only. Float and deferred tax are not deducted — they already fund or sit inside the columns above.
Multiples, share counts and segment earnings are adjustable so you can test your own assumptions. The numbers are live where possible; the framing comes from the letters.
These are unofficial summaries for commentary. They are not quotations. Copyright in the letters belongs to Berkshire Hathaway Inc. — follow the link and read the original.
Owner’s Manual
Read the letterBerkshire’s Owner’s Manual describes the worth of a business as the cash it can distribute over its remaining life, discounted. That idea is the starting point for this unofficial model. The wording here is our paraphrase — read the original.
Shareholder letters
Read the letterThe letters describe Berkshire as two parts: investments marked at market, and wholly-owned operating businesses whose equity value is estimated from after-interest earnings. This desk follows that split. Our summary, not a quotation.
Shareholder letters
Read the letterInsurance float is a balance-sheet liability. When underwriting is profitable, Berkshire has described that float as cheap revolving capital. This model therefore does not deduct float as if it were ordinary debt. That is our modelling choice, explained against the letters — not Berkshire’s official valuation of itself.
Shareholder letters
Read the letterGAAP earnings swing with unrealized gains and losses on the stock portfolio. The letters ask readers to look at operating earnings instead. This desk capitalizes operating earnings, not mark-to-market GAAP. Paraphrase only — see the letters.
Shareholder letters
Read the letterBerkshire has described its aim as growing per-share intrinsic value, and has said buybacks make sense only below a conservative estimate of that value. That is Berkshire’s stated policy, not a buy or sell recommendation from this desk.
Every annual letter from 1977 onward is available on Berkshire’s site. The Owner’s Manual remains the clearest short statement of the principles that guide this desk.
Berkshire Desk is an independent, unofficial research tool that publishes a two-column SOTP estimate for Berkshire Hathaway (BRK.A / BRK.B). It is not affiliated with, endorsed by, or sponsored by Berkshire Hathaway Inc. It is not investment advice.
This desk’s estimate is the sum of two columns: investments at market plus a capitalized estimate of wholly-owned operating businesses and the insurance underwriting franchise, less parent-level bonds only. The result is an estimate, not a fact and not Berkshire’s own figure.
This model does not deduct float as ordinary debt, because when underwriting is profitable the letters describe float as cheap revolving capital. That is a modelling choice. It is not a statement of how Berkshire officially values itself.
This desk capitalizes operating earnings rather than GAAP earnings, because mark-to-market swings on the equity portfolio can dominate the latter. That is a modelling choice, not advice about what you should buy or sell.
On Berkshire Hathaway’s own website. This desk paraphrases ideas from those public letters and links to them. It does not reproduce the letters. They remain the primary source.
This is an independent, unofficial research desk. It is not affiliated with, endorsed by, or sponsored by Berkshire Hathaway Inc. It is not investment advice, not a recommendation, and not an offer to buy or sell securities. Intrinsic-value figures are estimates. The letters are the authoritative source. Do your own work. Full notice on the Legal page.
Technical sources and filing status live on the Sources page.