KBW cuts target to USD 700,000 for Berkshire Hathaway stock

Published on 10/16/2026 at 09:22 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

KBW cut its target from USD 740,000 to USD 700,000 on October 14, 2026. Berkshire Hathaway stock trades at EUR 469.08 on October 16, 2026.

Leadership and earnings context

KBW cut its Berkshire Hathaway target from USD 740,000 to USD 700,000 on October 14, 2026.
Operating earnings reached USD 12.98 billion in the second quarter of 2026 versus USD 11.16 billion a year earlier.
Berkshire Hathaway stock trades at EUR 469.08 at 9:13 a.m. CEST at Lang & Schwarz on October 16, 2026.
Market capitalization stood at USD 1.1 trillion on October 15, 2026.

Architektonisches CGI-Render eines modernen Konzernhochhauses mit Glasfassade und Park — Berkshire Hathaway (B) Konzernzentrale ISIN US0846707026 – modernes Hochhaus als Architektur-Render dargestellt, Illustration mit AI erstellt.

Berkshire Hathaway stock (ISIN US0846707026) was trading at EUR 469.08 at Lang & Schwarz on October 16, 2026 at 9:13 a.m. CEST. The Economic Times reported on October 14, 2026 that Keefe, Bruyette & Woods cut its target for Berkshire Hathaway Class A shares from USD 740,000 to USD 700,000 and downgraded the company to Underperform.

KBW highlights insurance pressure

The downgrade cited lower car insurance margins, tariffs, falling interest rates, smaller clean-energy tax credits and Warren Buffett's departure, according to The Economic Times. The report named Meyer Shields as the KBW analyst and said Berkshire's Class A shares had lagged the S&P 500 by more than 28 percentage points since the management change was announced.

The insurance concern is visible in Berkshire's second-quarter operating data. Insurance-underwriting earnings fell to USD 1.73 billion from USD 1.99 billion a year earlier, while manufacturing, service and retailing earnings rose to USD 4.47 billion from USD 3.60 billion, according to Berkshire's Berkshire Hathaway release dated August 8, 2026.

Three events define the transition

Berkshire's second-quarter release on August 8, 2026 reported USD 12.98 billion in operating earnings versus USD 11.16 billion in the second quarter of 2025. On September 18, 2026, Warren Buffett became chairman emeritus and Howard G. Buffett became chairman, while Greg Abel remained chief executive, according to a Business Wire release. On October 14, 2026, KBW cut its target to USD 700,000 from USD 740,000, as reported by The Economic Times.

What does the target cut mean?

The operating picture is mixed rather than uniformly weak. Berkshire reported USD 101.81 billion of revenue in the second quarter of 2026, up from USD 92.52 billion in the second quarter of 2025, while net earnings attributable to shareholders reached USD 25.67 billion from USD 12.37 billion. Berkshire Hathaway said the release included USD 12.68 billion of investment gains in the quarter, making operating earnings the clearer measure of underlying businesses.

Next reporting date

The next earnings report is expected on November 6, 2026, according to MetaCap. The calendar date is a market expectation rather than a company release date.

Stock valuation remains substantial

Berkshire Hathaway's market capitalization stood at USD 1.1 trillion on October 15, 2026, while its 52-week range was USD 464.01 to USD 537.74, according to MetaCap. The company does not pay a regular cash dividend, so the debate centers on operating earnings, capital allocation and the insurance cycle.

Trading in Germany

Berkshire Hathaway was trading at EUR 469.08 at Lang & Schwarz on October 16, 2026 at 9:13 a.m. CEST. The quote is an intraday euro indication for German investors, while the company's primary listing is on the New York Stock Exchange.

The further course of trading is shown by the continuously updated real-time quote of Berkshire Hathaway stock.