◆ What the Market Isn't Pricing In

ITOCHU (8001) — the variant view

Berkshire arrived as ITOCHU's largest shareholder just as Japanese insurers sold their relationship stakes back to the company at a discount.

📈 8001 valuation, revenue & earnings — P/E, P/S, revenue, EPS →

Berkshire Hathaway became ITOCHU's largest shareholder in February 2026. On 27 February ITOCHU was informed that Berkshire held 10% or more of the voting rights1, and its disclosure shows National Indemnity holding 704,799,500 shares, 10.07%, ranked first2. Berkshire said it intends to hold the shares over the long term and is considering additional acquisitions3. At the end of 2025 its stake had cost $4,165 million and was worth $8,886 million, and paid $181 million of dividends in the year4, funded by yen borrowing at an average cost of 1.2%5. Berkshire's first purchases in the trading houses were in July 20196.

Berkshire's ITOCHU stake, end-2025 ($ m)4,165Cost8,886Market value1812025 dividendsBerkshire Hathaway 2025 Annual Report
More than double its cost, funded at 1.2%.

At the same time, Japanese insurers are selling. In ITOCHU's August 2026 self-tender, four non-life insurers unwinding their cross-shareholdings sold about 82.7 million shares at ¥1,813, a 10% discount to the market78. Long-term Japanese holders are leaving and a long-term American holder is arriving.

The market prices ITOCHU at about 17 times trailing earnings9, against about 6-8 times for most of the decade to 202010. What may not be priced is the change in the shareholder base: a register moving from relationship holders, who are neutral on returns, to Berkshire, which values them, supports the buyback and dividend policy that has driven the share price.

Berkshire's stake has grown steadily: 676,234,000 shares, 9.54%, in March 2025, and 704,799,500 shares, 10.07%, in February 20261112. At the September 2026 share price of ¥2,220.5, that stake is worth about ¥1.6 trillion13.

The measure is the share of ITOCHU held by the cross-shareholders who remain. As they sell into buybacks, the register becomes more like Berkshire's.

References
  1. ReportedOn 27 February ITOCHU was informed that Berkshire held 10% or more of the voting rights, and its disclosure shows National Indemnity holding 704,799,500 shares, 10.07%, ranked first.
    ITOCHU Corporation press release, 2 March 2026 - Berkshire Hathaway holds 10% or more of the voting rights, intends to hold over the long term and is considering additional acquisitions. — March 2026 · publ. 2 March 2026 · source ↗
  2. ReportedOn 27 February ITOCHU was informed that Berkshire held 10% or more of the voting rights, and its disclosure shows National Indemnity holding 704,799,500 shares, 10.07%, ranked first.
    ITOCHU Corporation, change of major shareholder, 2 March 2026 - National Indemnity holds 704,799,500 shares, 10.07% of voting rights, the largest shareholder. — March 2026 · publ. 2 March 2026 · source ↗
  3. ReportedBerkshire said it intends to hold the shares over the long term and is considering additional acquisitions.
    ITOCHU Corporation press release, 2 March 2026 - Berkshire Hathaway holds 10% or more of the voting rights, intends to hold over the long term and is considering additional acquisitions. — March 2026 · publ. 2 March 2026 · source ↗
  4. ReportedAt the end of 2025 its stake had cost $4,165 million and was worth $8,886 million, and paid $181 million of dividends in the year, funded by yen borrowing at an average cost of 1.2%.
    Berkshire Hathaway 2025 Annual Report - ITOCHU at 10.1%, cost $4,165 million, market value $8,886 million, 2025 dividends $181 million, and yen borrowing at an average cost of 1.2%. — 2025 · publ. February 2026 · source ↗
  5. ReportedAt the end of 2025 its stake had cost $4,165 million and was worth $8,886 million, and paid $181 million of dividends in the year, funded by yen borrowing at an average cost of 1.2%.
    Berkshire Hathaway 2025 Annual Report - ITOCHU at 10.1%, cost $4,165 million, market value $8,886 million, 2025 dividends $181 million, and yen borrowing at an average cost of 1.2%. — 2025 · publ. February 2026 · source ↗
  6. ReportedBerkshire's first purchases in the trading houses were in July 2019.
    Berkshire Hathaway 2024 shareholder letter - first purchases in July 2019, and the agreement to moderately relax the 10% ceiling. — 2024 · publ. February 2025 · source ↗
  7. ReportedIn ITOCHU's August 2026 self-tender, four non-life insurers unwinding their cross-shareholdings sold about 82.7 million shares at ¥1,813, a 10% discount to the market.
    ITOCHU Corporation, announcement of a tender offer for its own shares, 3 August 2026 - the tender price of ¥1,813 and the shareholders expected to tender. — August 2026 · publ. 3 August 2026 · source ↗
  8. ReportedIn ITOCHU's August 2026 self-tender, four non-life insurers unwinding their cross-shareholdings sold about 82.7 million shares at ¥1,813, a 10% discount to the market.
    ITOCHU Corporation, result of the tender offer for its own shares, 2 September 2026 - 83,403,785 shares tendered and 82,735,750 purchased. — September 2026 · publ. 2 September 2026 · source ↗
  9. ReportedThe market prices ITOCHU at about 17 times trailing earnings, against about 6-8 times for most of the decade to 2020.
    ITOCHU (TYO: 8001) market data - share price, trailing net income, P/E, forward P/E, dividend and yield, 52-week range and analysts' target, September 2026. — September 2026 · publ. 24 September 2026 · source ↗
  10. Moat Explorer calcThe market prices ITOCHU at about 17 times trailing earnings, against about 6-8 times for most of the decade to 2020.
    Moat Explorer calculation from ITOCHU's reported figures. Trailing twelve months to June 2026: net profit 900.3 - 283.9 + 293.8 = 910.1; revenue 14,823.1 - 3,558.9 + 3,875.9 = 15,140.1; EPS 128.00 - 40.10 + 42.02 = 129.92. Market value at 24 September 2026: 6,993,053,267 shares x ¥2,220.5 = ¥15.53 trillion. P/E at March year-end: market value over net profit, e.g. 13,802 / 900.3 = 15.3 (2026), 6,090 / 820.3 = 7.4 (2022), 3,046 / 500.5 = 6.1 (2019). Non-resource share of profit: 774.7 / (774.7 + 133.3) = 85%. Segment net profit over segment assets, year to March 2026: Machinery 155.6 / 2,603.5 = 6.0%; Metals & Minerals 143.5 / 1,793.4 = 8.0%; ICT & Financial 93.0 / 1,577.2 = 5.9%; Food 92.1 / 2,403.4 = 3.8%; Energy & Chemicals 69.3 / 1,819.4 = 3.8%; General Products & Realty 60.8 / 1,628.7 = 3.7%; The 8th 45.0 / 2,197.3 = 2.0%; Textile 43.3 / 751.9 = 5.8%. Segment net margin on revenue: Food 92.1 / 5,134.2 = 1.8%; Energy & Chemicals 69.3 / 3,069.6 = 2.3%; Machinery 155.6 / 1,500.6 = 10.4%; Metals & Minerals 143.5 / 1,231.5 = 11.7%. Berkshire's market value over cost: 8,886 / 4,165 = 2.13 times; dividend on cost 181 / 4,165 = 4.3%. Self-tender: 82,735,750 x ¥1,813 = about ¥150.0 billion. Net profit growth since the year to March 2016: 900.3 / 240.4 = 3.7 times. Dividend growth: 42.0 / 10.0 = 4.2 times (split-adjusted). ROE spread over the company's cost of capital: 14.6 - 8 = 6.6 points. Equity growth: 6,590.0 / 5,755.1 = 1.15. Stake in DENTSU SOKEN at the tender price: ¥215.2 billion for 38%. ACG profit target over investment: ¥50 billion is the aerospace target, about ¥310 billion the ACG investment. Berkshire's stake at ¥2,220.5: 704,799,500 x 2,220.5 = about ¥1.565 trillion. ITOCHU over Marubeni net profit: 900.3 / 543.9 = 1.66. 8% hurdle on the CSN Mineração additional investment: 0.08 x 119.2 = 9.5. 8% hurdle on ¥215.2 billion: about ¥17.2 billion. — FY to March 2026 · publ. September 2026 · source ↗
    Method: Arithmetic on figures reported in ITOCHU's financial statements, results decks and market data; operands shown in the source line.
  11. ReportedBerkshire's stake has grown steadily: 676,234,000 shares, 9.54%, in March 2025, and 704,799,500 shares, 10.07%, in February 2026.
    ITOCHU Corporation press release, 2 March 2026 - Berkshire Hathaway holds 10% or more of the voting rights, intends to hold over the long term and is considering additional acquisitions. — March 2026 · publ. 2 March 2026 · source ↗
  12. ReportedBerkshire's stake has grown steadily: 676,234,000 shares, 9.54%, in March 2025, and 704,799,500 shares, 10.07%, in February 2026.
    ITOCHU Corporation, change of major shareholder, 2 March 2026 - National Indemnity holds 704,799,500 shares, 10.07% of voting rights, the largest shareholder. — March 2026 · publ. 2 March 2026 · source ↗
  13. Moat Explorer calcAt the September 2026 share price of ¥2,220.5, that stake is worth about ¥1.6 trillion.
    Moat Explorer calculation from ITOCHU's reported figures. Trailing twelve months to June 2026: net profit 900.3 - 283.9 + 293.8 = 910.1; revenue 14,823.1 - 3,558.9 + 3,875.9 = 15,140.1; EPS 128.00 - 40.10 + 42.02 = 129.92. Market value at 24 September 2026: 6,993,053,267 shares x ¥2,220.5 = ¥15.53 trillion. P/E at March year-end: market value over net profit, e.g. 13,802 / 900.3 = 15.3 (2026), 6,090 / 820.3 = 7.4 (2022), 3,046 / 500.5 = 6.1 (2019). Non-resource share of profit: 774.7 / (774.7 + 133.3) = 85%. Segment net profit over segment assets, year to March 2026: Machinery 155.6 / 2,603.5 = 6.0%; Metals & Minerals 143.5 / 1,793.4 = 8.0%; ICT & Financial 93.0 / 1,577.2 = 5.9%; Food 92.1 / 2,403.4 = 3.8%; Energy & Chemicals 69.3 / 1,819.4 = 3.8%; General Products & Realty 60.8 / 1,628.7 = 3.7%; The 8th 45.0 / 2,197.3 = 2.0%; Textile 43.3 / 751.9 = 5.8%. Segment net margin on revenue: Food 92.1 / 5,134.2 = 1.8%; Energy & Chemicals 69.3 / 3,069.6 = 2.3%; Machinery 155.6 / 1,500.6 = 10.4%; Metals & Minerals 143.5 / 1,231.5 = 11.7%. Berkshire's market value over cost: 8,886 / 4,165 = 2.13 times; dividend on cost 181 / 4,165 = 4.3%. Self-tender: 82,735,750 x ¥1,813 = about ¥150.0 billion. Net profit growth since the year to March 2016: 900.3 / 240.4 = 3.7 times. Dividend growth: 42.0 / 10.0 = 4.2 times (split-adjusted). ROE spread over the company's cost of capital: 14.6 - 8 = 6.6 points. Equity growth: 6,590.0 / 5,755.1 = 1.15. Stake in DENTSU SOKEN at the tender price: ¥215.2 billion for 38%. ACG profit target over investment: ¥50 billion is the aerospace target, about ¥310 billion the ACG investment. Berkshire's stake at ¥2,220.5: 704,799,500 x 2,220.5 = about ¥1.565 trillion. ITOCHU over Marubeni net profit: 900.3 / 543.9 = 1.66. 8% hurdle on the CSN Mineração additional investment: 0.08 x 119.2 = 9.5. 8% hurdle on ¥215.2 billion: about ¥17.2 billion. — FY to March 2026 · publ. September 2026 · source ↗
    Method: Arithmetic on figures reported in ITOCHU's financial statements, results decks and market data; operands shown in the source line.
Sources
Generated September 24, 2026