Key Highlights
- Stock repurchases at Berkshire Hathaway have been reactivated following a nine-month pause since Q2 2024
- CEO Greg Abel invested $15.3 million of his own money in Class A shares — representing his full post-tax compensation
- Warren Buffett was consulted before Abel initiated the buyback program
- The company finished 2025 holding $373.3 billion in liquid assets; Abel believes repurchases offer better value than alternative options currently
- Cryptocurrency investments remain off the table, with Abel citing concerns about fundamental value
Greg Abel, Berkshire Hathaway’s newly appointed CEO, is making clear statements both through corporate action and personal investment.
Berkshire Hathaway Inc., BRK-B
On Thursday, Berkshire revealed it had restarted its share repurchase program, marking the company’s first buyback activity since the second quarter of last year. Abel made the announcement during an appearance on CNBC, characterizing it as a special “one-time” disclosure necessitated by the recent change in leadership.
According to Berkshire’s established buyback framework, share repurchases may proceed when the chief executive — following consultation with the board’s chairman — believes the trading price falls below the company’s true worth. Abel verified that he conferred with Buffett before taking action.
“I absolutely talked to Warren,” Abel stated.
Buffett, who concluded his six-decade leadership of the firm at the beginning of 2026, allegedly remarked about Abel’s personal investment strategy: “No one else in corporate America does this. This is so Berkshire.”
In a separate regulatory filing, Abel revealed his purchase of 21 Class A shares totaling $15.3 million — representing 100% of his compensation after taxes for the year.
During his CNBC appearance, he committed to repeating this practice annually throughout his tenure as CEO. His current holdings stand at 249 Class A shares valued at approximately $189 million.
Unlike typical corporate executives, Abel and fellow Berkshire leaders receive zero equity-based compensation. Every share Abel owns was purchased through open-market transactions using personal funds.
Abel has substantial financial capacity for such investments. Back in June 2022, he divested a 1% ownership position in Berkshire Hathaway Energy to the parent company for $870 million. He subsequently deployed over $100 million from those proceeds into Berkshire stock purchases during 2022 and 2023.
The Rationale Behind Resuming Repurchases
Berkshire concluded 2025 with $373.3 billion in cash and Treasury securities, representing a modest decline from the peak of $381.7 billion recorded at Q3’s close. This represents enormous capital awaiting deployment.
Abel explained that given the magnitude of available cash, buybacks represented the most sensible allocation currently — surpassing acquisitions or alternative investment opportunities.
During the first half of 2024, the last period when Berkshire conducted buybacks, the company allocated $2.9 billion to repurchases. Abel did not disclose the planned expenditure amount or duration for the current program.
Berkshire’s Class B shares climbed approximately 1.9% on Thursday to reach $496.36, even as the S&P 500 dipped slightly. Prior to Thursday, the stock had declined 3% year-to-date through Wednesday’s close.
Investment Territories Abel Is Avoiding
Abel offered an unambiguous stance regarding one asset class: cryptocurrency remains excluded from consideration.
“I don’t think you’ll see crypto,” he informed CNBC. “I would never say never, but I just don’t see it.”
He pointed to insufficient intrinsic value as the determining factor, maintaining alignment with the philosophy Buffett championed during his leadership.
The buyback declaration arrives shortly after Berkshire disclosed challenging Q4 results, featuring a 30% decline in operating profit and insurance underwriting income plummeting over 50%. The stock experienced significant selling pressure on Monday following that earnings release.
In his inaugural shareholder letter, Abel emphasized capital allocation discipline: “We will assess value carefully, act patiently, and hold for the long term — preferably forever.”
Berkshire Class B shares finished Thursday’s session up 1.33%.
