Honestly, the mood around Omaha is a bit weird right now. It's January 2026, and for the first time in sixty years, the "CEO" door at Berkshire doesn’t have Warren Buffett’s name on it. He’s 95, he’s earned the rest, and Greg Abel has officially taken the wheel. But if you think the debate over the stock has settled down just because the succession plan finally happened, you’re in for a surprise.
Wall Street is currently split down the middle. One side sees a cash-rich fortress ready to dominate a volatile year; the other sees a massive, slow-moving ship that just lost its legendary captain and is carrying way too much "dead" cash.
Let’s look at the actual Berkshire Hathaway Inc. bullish and bearish analyst opinions floating around the terminals today.
The Bull Case: 382 Billion Reasons to Relax
The bulls are basically pointing at the balance sheet and laughing at the skeptics. As of the start of 2026, Berkshire is sitting on a record cash pile of roughly $382 billion. That’s not just "rainy day" money. That is "I can buy almost any company on the S&P 500 in cash" money.
Analysts like Greggory Warren over at Morningstar aren't flinching. They recently maintained a fair value estimate around $510 for the Class B shares, suggesting the stock is actually slightly undervalued even as it hovers near the $500 mark. The logic is simple: Berkshire isn't just a stock portfolio; it’s an operational beast.
It’s the Operations, Stupid
Most people focus on the Apple or Coca-Cola stakes, but the bulls care about the "Powerhouse Five" and the massive insurance float.
🔗 Read more: Philippine Peso to USD Explained: Why the Exchange Rate is Acting So Weird Lately
- OxyChem and Energy: On January 2, 2026, Berkshire closed its $9.7 billion acquisition of OxyChem. This wasn’t just a random buy; it fits Greg Abel’s deep background in energy and industrials.
- The Insurance Engine: Geico and the reinsurance arms are pumping out massive amounts of "float"—money they hold before paying claims—that Berkshire gets to invest for free.
- The "Interest" Income: Here is a wild stat: with $305 billion of that cash in T-bills, Berkshire is potentially clearing **$9 billion a year** just by sitting on its hands.
Bulls argue that in a 2026 economy haunted by tariff fears and high valuations, there is no safer place to be than a company that literally acts as a secondary Federal Reserve.
The Bear Case: The "Buffett Premium" is Evaporating
Now, the bears aren't necessarily saying Berkshire is going to zero. That would be a tough sell. Instead, they’re arguing that the stock is going to "market-perform" its way into boredom.
The biggest worry? The Buffett Premium. For decades, investors paid a little extra because they trusted the "Oracle" to find the needle in the haystack. With Greg Abel now at the helm, that psychological cushion is thinning.
Why the Bears are Nervous
Some analysts, including those contributing to the Zacks "Hold" rating, point to a few red flags:
- Size is a Curse: To "move the needle" for a trillion-dollar company, you have to make massive acquisitions. There just aren't many $50 billion companies sitting around at a "fair price."
- Growth Stagnation: Zacks currently gives Berkshire a Growth Score of F. That’s harsh. But when your operating earnings are only projected to grow around 4% to $50.8 billion in 2026, you start looking more like a utility and less like a wealth-compounding machine.
- The Tech Gap: While Berkshire finally dipped its toes into Alphabet (Google) last year with a $5 billion stake, it still feels late to the AI party.
There’s also a growing chorus of "Dividend Hawks." Guys like Jonathan Boyar have been vocal: if you can’t find a way to spend $380 billion, give it back to us. The fact that Berkshire hasn't bought back its own stock in over five quarters suggests even they think their own shares aren't the bargain they used to be.
💡 You might also like: Average Uber Driver Income: What People Get Wrong About the Numbers
The Occidental Pivot: A New Era for Greg Abel?
If you want to see where Berkshire is actually going, stop looking at the Apple trades and start looking at Occidental Petroleum (OXY).
Berkshire already owns about 27% of the company. In the bearish view, this is just a boring old-economy play. But the bulls see Abel’s fingerprints all over this. He knows the energy sector inside out. There is heavy speculation that 2026 might be the year Berkshire finally moves to buy the rest of Occidental.
It would be a classic "Abel Move"—taking a minority stake and turning it into a wholly-owned cash cow, much like they did with the railroads or the energy utilities years ago.
Valuation Reality Check
Where does the price actually go? If you look at the consensus of the handful of analysts who actually cover the "B" shares, the target is sitting around $537 to $595.
| Metric | Current Estimate (Early 2026) |
|---|---|
| Class B Price | ~$498 |
| High Target | $595 |
| Low Target | $481 |
| Forward P/E | ~20.3x |
The stock has basically been bouncing between $470 and $510 for months. It's a "coiled spring" according to some, but a "dead weight" according to others who are tired of watching the S&P 500 outpace it.
📖 Related: Why People Search How to Leave the Union NYT and What Happens Next
What Most People Get Wrong
People think Berkshire is a "bet on the market." It’s actually a bet on volatility.
When the market is soaring and everyone is a genius, Berkshire looks like a dinosaur. But the moment a "black swan" event hits—be it geopolitical tension or a sudden credit crunch—that $382 billion cash pile becomes the most powerful weapon in finance.
The bearish analysts are right that the "magic" might be gone with Buffett's retirement. But the bullish analysts are right that the "math" still works. You’re buying a massive collection of boring, profitable businesses at a price that isn't particularly expensive compared to the tech-heavy indices.
Actionable Insights for Your Portfolio
If you're looking at these Berkshire Hathaway Inc. bullish and bearish analyst opinions and wondering what to do, keep these steps in mind:
- Watch the Buyback Level: If the stock drops toward $460 and the company still doesn't buy back shares, that’s a bearish signal that management thinks the market is still too high.
- Monitor the 13-F Filings: See if Greg Abel continues the Alphabet (Google) build-up or if he trims the Apple stake further. A shift toward tech would be a major departure from the "old" Berkshire.
- The Dividend Trigger: If the company announces its first dividend since 1967, expect a short-term pop as "income" funds pile in, but a long-term signal that the days of massive "needle-moving" acquisitions might be over.
- Treat it as a Hedge: Don't expect 20% annual returns. Treat Berkshire as your "financial bunker." It's designed to survive the 2026 market, not necessarily to lead it.
Keep an eye on the next earnings call—it'll be Greg Abel's first solo "performance," and the tone he sets will likely decide which side of the analyst divide wins the year.