Berkshire Hathaway has resumed repurchasing its own shares for the first time since the second quarter of 2024, according to a new regulatory filing that signals the conglomerate again sees its stock trading below intrinsic value.
The company disclosed it began buying back Class A and Class B shares on March 4 under its long standing repurchase policy, which allows Berkshire to buy stock whenever management believes the market price is below its conservatively estimated intrinsic value.
The move comes as Berkshire sits on roughly $373.3 billion in cash and short term investments, a record level built during Warren Buffett’s final years running the company and now overseen by CEO Greg Abel.
Under Berkshire’s policy, the company is not obligated to repurchase a specific number of shares. Buybacks may occur through open market purchases or privately negotiated transactions and can be suspended at any time depending on share prices, market conditions, and other factors. www-sec-gov-Archives-edgar-data…
Separately, regulatory filings show that CEO Greg Abel personally purchased about $15 million worth of Berkshire Class A shares, reinforcing his confidence in the company’s long term valuation.
Abel acquired roughly 21 Class A shares at prices around $730,000 each through his family trust, bringing his holdings to hundreds of millions of dollars in Berkshire stock.
The disclosure of the buybacks comes amid Berkshire’s ongoing leadership transition following Buffett’s move away from the CEO role, with the company stating it made the announcement in the interest of transparency.