Gotrade News - Berkshire Hathaway (BRK.B) has officially entered the post-Buffett era under new CEO Greg Abel. Abel resumed the company's first share buyback in 21 months at roughly $234 million in March 2026 while letting the cash pile swell to a record $397 billion in Q1.
Abel also net sold $8.1 billion of equities in his first quarter as CEO. The capital allocation pattern signals continuity with Warren Buffett's playbook: wait for valuations to come into the wheelhouse, then deploy.
Key Takeaways
- Berkshire Hathaway (BRK.B) resumed buybacks in March 2026 at roughly $234 million, the first repurchase activity in 21 months and a top-up to the $78 billion cumulative repurchase total since mid-July 2018.
- The Q1 2026 cash hoard hit a record $397 billion after Abel offloaded a net $8.1 billion of equity holdings, including positions previously managed by former stock picker Todd Combs.
- The buyback trigger was a price-to-book ratio that dipped to 1.4 (a 40% premium), versus a more typical 60-80% premium range, signaling Abel's adherence to Buffett's valuation discipline.
The First Buyback in 21 Months
According to The Motley Fool, Abel green-lit the repurchase of 33 Class A shares (BRK.A) and 431,462 Class B shares (BRK.B) in March 2026. The roughly $234 million spent marked the first buyback activity for Berkshire Hathaway (BRK.B) since May 2024.
The repurchase pushed the aggregate buyback total since mid-July 2018 to $78 billion. The $234 million tranche is small relative to the cash pile but large in symbolic value as the first capital return decision under the new CEO.
The $397B Cash Hoard
According to Yahoo Finance, Berkshire's Q1 2026 cash position surged to $397 billion, the highest level the company has ever reported. The increase came despite, not because of, market action.
Abel net sold $8.1 billion of equity holdings during the quarter. The disclosure indicated Abel offloaded positions previously managed by Todd Combs, signaling an active reshaping of the equity book inside the new CEO's first 90 days.
The Valuation Trigger
The 21-month buyback pause ended because Berkshire Hathaway (BRK.B) shares became cheap enough to repurchase. The price-to-book ratio dipped to 1.4 (a 40% premium to book) in March, well below the 60-80% premium range that had stalled buybacks for nearly two years.
The action mirrors Buffett's stated principle of waiting for valuations to come into Berkshire's wheelhouse. Abel personally also bought $15 million of Berkshire shares, an amount equal to his after-tax annual salary, and has stated he intends to repeat the buy every year.
What This Means for Investors
The signal for Berkshire Hathaway (BRK.B) shareholders is continuity. Abel is using Buffett's playbook on the buyback trigger and showing willingness to reshape the equity book where the inherited positions do not fit.
The next catalyst is the deployment of the record $397 billion cash pile. Investors should watch for any large equity additions in 13F filings and any acquisition announcement; either would signal Abel moving from defensive cash hoarding to offensive capital allocation.
Sources
The Motley Fool, Greg Abel's $234 Million Buy Brings Berkshire Hathaway's Total Investment in Warren Buffett's No. 1 Stock to $78 Billion in 8 Years, 2026.
Yahoo Finance, Berkshire Hathaway's Cash Surges in Abel's First Quarter as CEO, 2026.
