Berkshire Hathaway: Skip Tech Earnings, Buy This Classic Defensive

Berkshire Hathaway stands out in this market, consistently producing high cash flows while other mega-caps turn FCF-negative due to AI CapEx. Berkshire's diversified portfolio, with disciplined capital allocation and selective tech exposure, positions it to outperform in risk-off environments—yet perform adequately in risk-on environments. Recent earnings highlight profitable, modest growth: improved BNSF operating ratio, 28% insurance underwriting profit growth, and a 5.6% FCF margin. Trading at a 22.6x P/E, below the S&P 500, BRK.B offers quality, prudent capital allocation, and a robust hedge against mega-cap CapEx risk. In this article, I explain why I'm comfortable owning Berkshire stock at today's price.

This week, America's biggest tech companies are reporting their earnings for the calendar second quarter of 2026. Names reporting include Apple ( AAPL ), Microsoft ( MSFT ), and Amazon ( AMZN ).