Berkshire Hathaway's new CEO Greg Abel deploys cash pile with $10 billion Alphabet investment and accelerated buybacks

Aug 8, 2026

In his second quarter as Berkshire Hathaway CEO, Greg Abel began deploying the conglomerate's massive cash pile, reducing it to $364.7 billion. Berkshire became a net buyer of equities for the first time in 14 quarters, driven by a $10 billion investment in Alphabet and $4.5 billion in Q2 share buybacks. The company reported a 16% rise in operating profit to $12.98 billion, as gains at BNSF railroad and energy units offset a 45% underwriting profit drop at Geico.

Greg Abel cash deployment

▪Berkshire Hathaway completed an acquisition of homebuilder Taylor Morrison for $6.8 billion in cash, which closed in late July 2026 and was reflected in the reported cash balance.
▪Berkshire Hathaway became a net buyer of equities in the second quarter of 2026, purchasing nearly $20 billion more in stocks than it sold and ending a 14-quarter streak as a net seller.
▪Berkshire Hathaway CEO Greg Abel reduced the company's cash stockpile to approximately $364.7 billion at the end of June 2026, down from a record $380.2 billion three months prior.

Alphabet stock investment

▪Berkshire Hathaway invested $10 billion in Google and YouTube parent company Alphabet, making it one of Berkshire Hathaway's largest stock holdings.
▪Warren Buffett stated to CNBC that he initiated Berkshire Hathaway's $10 billion investment in Alphabet after consulting with CEO Greg Abel.

Share buyback acceleration

▪The $4.5 billion in second-quarter share buybacks marked an acceleration from the $234 million spent on buybacks in the first quarter of 2026.
▪Berkshire Hathaway repurchased $4.5 billion of its own stock in the second quarter of 2026 and over $3.3 billion more in July 2026.

Q2 operating profit growth

▪Berkshire Hathaway's second-quarter operating profit rose 16% to $12.98 billion, or about $9,068 per Class A share, up from $11.16 billion in the same period of 2025.
▪Berkshire Hathaway's net income more than doubled to $25.67 billion, or about $17,928 per Class A share, from $12.37 billion in the prior year's second quarter.
▪Geico, Berkshire Hathaway's auto insurer, experienced a 45% decline in pre-tax underwriting profit to $1.73 billion due to rising accident claims and increased marketing expenses.

Greg Abel CEO succession

▪Greg Abel completed his second quarter as Berkshire Hathaway's chief executive officer after succeeding Warren Buffett, who retired as CEO but remains chairman.
▪Berkshire Hathaway's Class A shares rose 3% in 2026, lagging behind the S&P 500's 13% gain and trailing the index by 40 percentage points since Warren Buffett announced his retirement in May 2025.