Ares Capital Corporation (ARCC)vsBerkshire Hathaway Inc (BRK-A)
ARCC
Ares Capital Corporation
$19.16
+2.62%
FINANCIAL SERVICES · Cap: $13.41B
BRK-A
Berkshire Hathaway Inc
$712,064.33
-0.13%
FINANCIAL SERVICES · Cap: $1.02T
Smart Verdict
WallStSmart Research — data-driven comparison
Berkshire Hathaway Inc generates 12071% more annual revenue ($371.44B vs $3.05B). ARCC leads profitability with a 42.6% profit margin vs 18.0%. ARCC appears more attractively valued with a PEG of 3.72. ARCC earns a higher WallStSmart Score of 56/100 (C).
ARCC
Buy56
out of 100
Grade: C
BRK-A
Buy51
out of 100
Grade: C-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 43 of every $100 in revenue as profit
Strong operational efficiency at 75.3%
Mega-cap, among the largest globally
Reasonable price relative to book value
Strong operational efficiency at 33.0%
Conservative balance sheet, low leverage
Attractively priced relative to earnings
Generating 5.0B in free cash flow
Areas to Watch
4.5% revenue growth
Weak financial health signals
Expensive relative to growth rate
Earnings declined 24.9%
Weak financial health signals
Expensive relative to growth rate
Revenue declined 0.7%
Earnings declined 2.5%
Comparative Analysis Report
WallStSmart ResearchBull Case : ARCC
The strongest argument for ARCC centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 42.6% and operating margin at 75.3%.
Bull Case : BRK-A
The strongest argument for BRK-A centers on Market Cap, Price/Book, Operating Margin. Profitability is solid with margins at 18.0% and operating margin at 33.0%.
Bear Case : ARCC
The primary concerns for ARCC are Revenue Growth, Piotroski F-Score, PEG Ratio.
Bear Case : BRK-A
The primary concerns for BRK-A are Piotroski F-Score, PEG Ratio, Revenue Growth.
Key Dynamics to Monitor
ARCC profiles as a value stock while BRK-A is a declining play — different risk/reward profiles.
BRK-A carries more volatility with a beta of 0.70 — expect wider price swings.
ARCC is growing revenue faster at 4.5% — sustainability is the question.
BRK-A generates stronger free cash flow (5.0B), providing more financial flexibility.
Bottom Line
ARCC scores higher overall (56/100 vs 51/100), backed by strong 42.6% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Ares Capital Corporation
FINANCIAL SERVICES · ASSET MANAGEMENT · USA
Ares Capital Corporation (ARCC) is a leading publicly traded business development company focused on providing customized financing solutions to middle-market businesses across multiple sectors. With a dual investment strategy encompassing both debt and equity, ARCC is dedicated to delivering strong risk-adjusted returns for investors while emphasizing capital preservation. The firm's comprehensive credit evaluation process and diversified investment portfolio reflect its commitment to sustainable growth in the private equity market. Leveraging the substantial resources and global capabilities of its parent, Ares Management Corporation, ARCC is well-equipped to seize emerging investment opportunities and drive long-term value creation.
Berkshire Hathaway Inc
FINANCIAL SERVICES · INSURANCE - DIVERSIFIED · USA
Berkshire Hathaway Inc. is an American multinational conglomerate holding company headquartered in Omaha, Nebraska, United States. The company wholly owns GEICO, Duracell, Dairy Queen, BNSF, Lubrizol, Fruit of the Loom, Helzberg Diamonds, Long & Foster, FlightSafety International, Pampered Chef, Forest River, and NetJets, and also owns 38.6% of Pilot Flying J; and significant minority holdings in public companies Kraft Heinz Company (26.7%), American Express (18.8%), The Coca-Cola Company (9.32%), Bank of America (11.9%), and Apple (6.3%).
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