TLDR
- Stock repurchases have been reinstituted at Berkshire Hathaway following an eight-month hiatus dating back to Q2 2024
- CEO Greg Abel made a personal investment of $15.3 million in Class A shares using his complete after-tax compensation
- Buffett was consulted by Abel prior to initiating the buyback program
- The company finished 2025 holding $373.3 billion in cash reserves; Abel indicated repurchases represent better value than alternative investments currently
- Cryptocurrency investments were explicitly rejected by Abel due to absence of fundamental value
The newly appointed CEO of Berkshire Hathaway, Greg Abel, is making bold moves early in his tenure — backing his convictions with substantial personal capital.
Berkshire Hathaway Inc., BRK-B
In a Thursday announcement, Berkshire revealed it has reinitiated its share repurchase program, marking the first buyback activity since the second quarter of last year. During a CNBC appearance, Abel characterized this as a “one-time” disclosure he deemed important given the recent change in leadership.
Berkshire’s current buyback framework permits repurchases whenever the chief executive — following consultation with the board’s chairman — concludes that shares trade beneath their fundamental worth. Abel verified that he discussed the decision with Buffett beforehand.
“I absolutely talked to Warren,” Abel stated.
Buffett, who concluded his six-decade tenure at the company’s helm in early 2026, allegedly reacted to Abel’s personal stock purchase plan by remarking: “No one else in corporate America does this. This is so Berkshire.”
In a separate regulatory filing, Abel revealed his acquisition of 21 Class A shares totaling $15.3 million — representing his complete after-tax earnings for the year.
During his CNBC interview, he committed to repeating this practice annually throughout his CEO tenure. His current holdings stand at 249 Class A shares valued at approximately $189 million.
Berkshire’s executive team receives zero equity-based compensation packages. All shares Abel possesses were acquired through direct market purchases using personal funds.
Capital isn’t an issue for Abel. Back in June 2022, he divested a 1% ownership position in Berkshire Hathaway Energy to the parent company for $870 million. Subsequently, he deployed over $100 million from those proceeds into Berkshire shares during 2022 and 2023.
Why Buybacks Now?
Berkshire concluded 2025 with $373.3 billion held in cash and Treasury securities, marginally below the peak of $381.7 billion recorded at Q3’s close. That represents enormous capital awaiting deployment.
According to Abel, the magnitude of available cash made share repurchases the most prudent allocation currently — preferable to corporate acquisitions or alternative investment opportunities.
During Berkshire’s last buyback period in early 2024, the company allocated $2.9 billion to repurchases. Abel refrained from disclosing either the planned expenditure amount or program duration this time.
Berkshire’s Class B shares advanced approximately 1.9% Thursday, reaching $496.36, even as the S&P 500 declined modestly. The stock had experienced a 3% year-to-date decline through Wednesday’s close.
What Abel Won’t Do
Abel offered unambiguous commentary regarding one asset class: cryptocurrency remains off-limits.
“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 the absence of fundamental value as justification, maintaining continuity with Buffett’s longstanding perspective on digital currencies.
The buyback disclosure follows closely behind Berkshire’s challenging Q4 results, which showed operating profit declining 30% and insurance underwriting earnings plummeting over 50%. Monday witnessed significant stock price pressure following that quarterly announcement.
Abel emphasized capital allocation prudence in his inaugural shareholder correspondence: “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%.
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