Berkshire Hathaway Inc (BRK.B): Today's Featured Insurance Winner - TheStreet

Berkshire Hathaway

(

BRK.B

) pushed the Insurance industry higher today making it today's featured insurance winner. The industry as a whole closed the day up 0.6%. By the end of trading, Berkshire Hathaway rose 86 cents (1.1%) to $81.33 on average volume. Throughout the day, 3.3 million shares of Berkshire Hathaway exchanged hands as compared to its average daily volume of 4.3 million shares. The stock ranged in a price between $80.46-$81.77 after having opened the day at $80.72 as compared to the previous trading day's close of $80.47. Other companies within the Insurance industry that increased today were:

Kingstone Companies

(

KINS

), up 5.7%,

SeaBright Holdings

(

SBX

), up 3.9%,

China Life Insurance

(

LFC

), up 3.8%, and

American Independence Corporation

(

AMIC

), up 3.5%.

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Berkshire Hathaway, Inc. is a publicly owned investment manager. Through its subsidiaries, the firm primarily engages in the insurance and reinsurance of property and casualty risks business. Berkshire Hathaway was founded in 1889 and is based in Omaha, Nebraska. Berkshire Hathaway has a market cap of $88.45 billion and is part of the

financial

sector. The company has a P/E ratio of 16.9, above the average insurance industry P/E ratio of 16.1 and below the S&P 500 P/E ratio of 17.7. Shares are up 5.5% year to date as of the close of trading on Monday.

TheStreet Ratings rates Berkshire Hathaway as a

buy

. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, increase in net income, attractive valuation levels and good cash flow from operations. We feel these strengths outweigh the fact that the company shows low profit margins.

On the negative front,

National Security Group

(

NSEC

), down 5.9%,

First Acceptance Corporation

(

FAC

), down 5.4%,

CNinsure

(

CISG

), down 3%, and

Crawford & Company

(

CRD.A

), down 2.9%, were all losers within the insurance industry with

MGIC Investment Corporation

(

MTG

) being today's insurance industry loser.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the insurance industry could consider

KBW Insurance ETF

(

KIE

) while those bearish on the insurance industry could consider

Proshares Short Financials

(

SEF

).

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