Honestly, it’s a bit surreal to look at Berkshire Hathaway stock today and realize that Warren Buffett isn’t the guy in the big chair anymore. He officially retired as CEO at the end of 2025, handing the keys to Greg Abel. But if you think the "Oracle of Omaha" left the cupboard bare, you haven't been paying attention to the balance sheet.
Abel is walking into an office that basically has a $400 billion treasure chest sitting in the corner.
Most people are panicking because the stock has taken a roughly 10% hit since the succession news became real this January. It’s that "succession discount" everyone warned about for years. Investors are scared that without Buffett’s magic touch, Berkshire is just another massive, slow-moving conglomerate. But let’s be real: Berkshire isn't just a stock; it’s a fortress.
The $400 Billion Warning Shot
While the rest of the world was busy chasing AI startups and watching Nvidia's every move, Buffett was quietly selling. He spent 2024 and 2025 dumping massive amounts of Apple and Bank of America. He wasn't just "trimming" anymore; he was clearing the decks.
By the time he stepped down on December 31, 2025, the cash pile was pushing $400 billion. Most of that is parked in short-term U.S. Treasuries. Why? Because Buffett basically told us—without saying a word—that he doesn't like the prices he sees in the market today. When the smartest guy in the room walks out and leaves a pile of cash behind, it's a signal.
He’s betting on a correction. Or, at the very least, he’s giving Greg Abel the ultimate "buy the dip" fund for whenever the market finally breaks.
Berkshire Hathaway Stock Today: The Price You're Seeing
As of Friday, January 16, 2026, the Class B shares (BRK.B) closed at $493.51.
💡 You might also like: Canada Tariffs on US Goods Before Trump: What Most People Get Wrong
The stock has been hovering in a 52-week range between $454.60 and $542.07. If you look at the Class A shares (BRK.A), you're looking at a price tag that makes most people's heads spin—well over $700,000.
- Price-to-Earnings (P/E): Roughly 21.8.
- Price-to-Book (P/B): About 1.52.
Morningstar’s Greggory Warren recently pegged the fair value of Class B shares at $510. So, at $493, it’s not exactly "dirt cheap," but it’s arguably undervalued. The market is currently pricing in a lot of "Abel Anxiety." People are worried Greg is an operator, not a visionary.
What’s Actually Inside the Portfolio Now?
It’s not just a pile of cash. The equity portfolio still has some heavy hitters, though it looks a lot different than it did three years ago. Apple is still the king, but it’s no longer the 50% behemoth it once was.
- Apple: Still roughly 20% of the invested assets.
- American Express: This is the one to watch. Many analysts think Amex might actually overtake Apple as the largest holding in 2026.
- Bank of America: Still around 10%, despite the heavy selling.
- Coca-Cola: The "forever" stock. Berkshire owns 400 million shares, and I’d bet my house Abel doesn’t touch a single one of them.
- Chevron & Occidental Petroleum: These two make up a massive bet on energy. Berkshire owns nearly 30% of Oxy.
The "Size Penalty" is Real
Here’s the thing most people get wrong about Berkshire Hathaway stock today. They expect the 20% annualized returns of the 1980s. That’s just not going to happen.
When you manage a trillion-dollar company, you can’t just buy a small, fast-growing tech firm. It wouldn't move the needle. Berkshire is now so big that it basically is the American economy. To grow, it needs massive deals. We’re talking $50 billion or $100 billion acquisitions.
There are only a handful of companies on Earth that fit that criteria and are actually worth buying. That’s why the cash is piling up. It’s not that they don’t want to spend it; it’s that there’s nothing big enough and cheap enough to buy.
📖 Related: Bank of America Orland Park IL: What Most People Get Wrong About Local Banking
Who is Greg Abel, Really?
Abel isn't a "stock picker" in the traditional sense. He’s the guy who ran Berkshire Hathaway Energy (BHE) and turned it into a powerhouse. He’s a Canadian, he’s 63, and he’s incredibly disciplined.
While Ajit Jain (the insurance genius) is still there overseeing the "float," Abel is the one making the final calls on capital allocation. Expect fewer "surprise" stock picks and more focus on operational efficiency. He might even look at spinning off some of the smaller, underperforming subsidiaries—something Buffett almost never did because he hated "selling his children."
Is the "Succession Discount" a Buying Opportunity?
History says yes. When a legendary CEO leaves, the stock almost always takes a hit. We saw it with Microsoft after Gates, and Apple after Jobs.
The underlying businesses at Berkshire—GEICO, BNSF Railway, See's Candies, the energy plants—are still printing money. The "float" (the money Berkshire gets to hold from insurance premiums before paying out claims) is over $170 billion. That’s basically free capital that they can invest.
Misconceptions You Should Ignore
- "Berkshire is a tech laggard": People say this because Buffett missed Nvidia. But remember, he bought Apple when it was a value play, and it became his greatest trade ever. They recently took a stake in Alphabet (Google). They aren't anti-tech; they're just anti-overpaying.
- "The company will be broken up": Unlikely. The tax implications of breaking up Berkshire would be a nightmare. Plus, the whole point of the structure is that the profitable businesses fund the ones that need capital.
- "Buffett’s death/retirement will tank the stock forever": The market has been preparing for this for 20 years. The 10% dip we’ve seen is likely the bulk of that "adjustment."
Actionable Insights for Investors
If you're looking at Berkshire Hathaway stock today, don't treat it like a "get rich quick" play. It’s a volatility dampener.
Watch the $480 level. If the Class B shares dip below $480, they start looking like a steal based on book value. The company has a history of buying back its own shares when the price gets too low, which provides a "floor" for the stock.
👉 See also: Are There Tariffs on China: What Most People Get Wrong Right Now
Keep an eye on the 13-F filings. The next big update is in February. Everyone wants to see if Abel is continuing to liquidate Apple or if he’s finally found a new "elephant" to hunt with that $400 billion.
Check the earnings on February 22, 2026. That will be the first full quarterly report under the new regime. Look specifically at the operating earnings of the insurance and railroad segments. If those stay strong, the "succession discount" will evaporate quickly.
Diversification is built-in. Buying one share of BRK.B is basically like buying a mini-S&P 500 but without the "frothy" tech valuations. If you think the broader market is in a bubble, Berkshire is one of the few places to hide.
Honestly, the biggest risk isn't Greg Abel. The biggest risk is the "size penalty." As long as you’re okay with 8-12% annual returns instead of 20%, Berkshire remains one of the safest bets in the world.
Next Steps for You:
- Monitor the Price: Set an alert for BRK.B at $485. This is near the bottom of its recent range and represents a strong entry point for long-term holders.
- Review the Portfolio: Check the February 2026 13-F filing to see if the "Alphabet" stake has grown. This will signal how aggressive the new management plans to be with "modern" value investing.
- Assess Your Cash: If you're 100% in tech stocks, consider moving a portion to Berkshire. It acts as a "synthetic cash" position because of its massive Treasury holdings, but with more upside if they make a big acquisition.