WallStSmart

Ares Management LP (ARES)vsBerkshire Hathaway Inc (BRK-B)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Berkshire Hathaway Inc generates 6325% more annual revenue ($384.69B vs $5.99B). BRK-B leads profitability with a 22.3% profit margin vs 10.6%. ARES appears more attractively valued with a PEG of 0.92. BRK-B earns a higher WallStSmart Score of 74/100 (B).

ARES

Buy

57

out of 100

Grade: C

Growth: 7.3Profit: 6.5Value: 5.0Quality: 3.0
Piotroski: 5/9Altman Z: 0.72

BRK-B

Strong Buy

74

out of 100

Grade: B

Growth: 7.3Profit: 7.5Value: 5.0Quality: 8.0
Piotroski: 3/9Altman Z: 2.59

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ARES1 strengths · Avg: 8.0/10
PEG RatioValuation
0.928/10

Growing faster than its price suggests

BRK-B6 strengths · Avg: 9.7/10
Market CapQuality
$1.09T10/10

Mega-cap, among the largest globally

Price/BookValuation
0.0x10/10

Reasonable price relative to book value

Operating MarginProfitability
32.6%10/10

Strong operational efficiency at 32.6%

EPS GrowthGrowth
107.8%10/10

Earnings expanding 107.8% YoY

Profit MarginProfitability
22.3%9/10

Keeps 22 of every $100 in revenue as profit

Debt/EquityHealth
0.179/10

Conservative balance sheet, low leverage

Areas to Watch

ARES4 concerns · Avg: 2.5/10
Price/BookValuation
11.4x4/10

Trading at 11.4x book value

P/E RatioValuation
56.8x2/10

Premium valuation, high expectations priced in

Free Cash FlowQuality
$-384.50M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.722/10

Distress zone — elevated risk

BRK-B2 concerns · Avg: 2.5/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
10.062/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : ARES

The strongest argument for ARES centers on PEG Ratio. PEG of 0.92 suggests the stock is reasonably priced for its growth.

Bull Case : BRK-B

The strongest argument for BRK-B centers on Market Cap, Price/Book, Operating Margin. Profitability is solid with margins at 22.3% and operating margin at 32.6%.

Bear Case : ARES

The primary concerns for ARES are Price/Book, P/E Ratio, Free Cash Flow. A P/E of 56.8x leaves little room for execution misses. Debt-to-equity of 3.75 is elevated, increasing financial risk.

Bear Case : BRK-B

The primary concerns for BRK-B are Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

ARES profiles as a value stock while BRK-B is a mature play — different risk/reward profiles.

ARES carries more volatility with a beta of 1.52 — expect wider price swings.

BRK-B is growing revenue faster at 10.0% — sustainability is the question.

BRK-B generates stronger free cash flow (5.6B), providing more financial flexibility.

Bottom Line

BRK-B scores higher overall (74/100 vs 57/100), backed by strong 22.3% margins. Both earn "Strong 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 Management LP

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

Ares Management Corporation is an alternative asset manager in the United States, Europe, and Asia.

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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