Overview
- Berkshire has sold more stocks than it bought for 11 consecutive quarters, swelling investable cash to nearly $340 billion.
- Buffett’s preferred market-cap-to-GDP measure has exceeded 216%, a zone he previously cautioned means investors are “playing with fire.”
- The Shiller CAPE has topped 40, a rare level that historically preceded weak 10-year returns.
- Berkshire has been reluctant to repurchase its own shares, reinforcing signals that few compelling opportunities exist right now.
- A planned CEO transition to Greg Abel at the end of 2025 has heightened succession worries and added pressure to Berkshire’s shares.