Overview
- Warren Buffett formally handed the CEO role to Greg Abel on Dec. 31, but multiple reports and a recent Buffett interview show Buffett personally initiated the large Alphabet trade and continues to influence major stock decisions.
- Berkshire began deploying a reduced cash hoard in 2026, cutting its cash from about $397–400 billion to roughly $365 billion as Abel approved big moves that include a roughly $17 billion increase in Alphabet, $4.5 billion of share buybacks in Q2 and the Taylor Morrison acquisition for about $6.8–$8.5 billion.
- The company’s Q2 13F filing, received Aug. 14, shows a reshaped public-equity portfolio with Alphabet rising to a top-three holding while Berkshire trimmed Bank of America and materially increased its Delta Air Lines position.
- Berkshire’s larger Alphabet stake creates a look-through exposure to SpaceX worth about $700–$815 million because Alphabet itself owns roughly 4% of SpaceX, a consequence that gives Berkshire indirect exposure to assets it did not buy directly.
- Buffett’s public warning about a market in a “gambling mood” and high valuation gauges such as the CAPE and market-cap-to-GDP ratio have sharpened investor scrutiny of Berkshire’s faster, more concentrated capital deployment and who holds final investment control.