Warren Buffett has continued to maintain a cautious investment stance at Berkshire Hathaway, marking his third consecutive year of net stock selling. The company’s cash pile has now reached a record $382 billion, the largest in its history.
In the most recent quarter, Berkshire sold $12.5 billion worth of stocks while buying only $6.4 billion. This marks the 12th straight quarter as a net seller of equities. The company has also avoided share buybacks for five consecutive quarters.
Strong Operating Earnings Driven by Insurance Business
Despite reduced equity exposure, Berkshire’s operating earnings rose 34% to $13.5 billion, supported by a surge in insurance profits. The underwriting division’s profit nearly tripled to $2.4 billion this quarter.
However, net investment income fell 13% to $3.2 billion, reflecting lower short-term interest rates that affected returns on the company’s large cash holdings.
Major Acquisition: OxyChem Deal Worth $9.7 Billion
Berkshire Hathaway recently completed one of its biggest acquisitions in recent years, the purchase of Occidental Petroleum’s chemical division, OxyChem, for $9.7 billion in October 2025. The deal expands Berkshire’s footprint in the U.S. energy and manufacturing sectors.
Leadership Transition: Greg Abel to Take Over as CEO
After nearly six decades at the helm, Warren Buffett will step down as CEO in January 2026. Longtime executive Greg Abel is set to succeed him, marking the beginning of a new chapter for Berkshire Hathaway’s leadership.
Since Buffett announced his retirement plans in May, Berkshire’s Class B shares have declined 12%, while the S&P 500 has gained about 20% during the same period.
What Investors Are Asking
Why is Berkshire Hathaway selling stocks?
Buffett has been trimming equity exposure due to high market valuations and limited attractive buying opportunities.
What will happen after Greg Abel takes over?
Abel is expected to maintain Berkshire’s conservative investment style but may focus more on operational growth and renewables.
Is Berkshire Hathaway still a good investment?
Despite reduced returns this year, Berkshire remains a stable, cash-rich company with a strong insurance and energy base.
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