Greg Abel's Berkshire Hathaway Repurchased $4.5 Billion of Its Own Stock Last Quarter. Is This a Bullish Signal for Investors?

Greg Abel took over as CEO of Berkshire Hathaway (NYSE: BRKA)(NYSE: BRKB) at the start of 2026. Former CEO Warren Buffett left Abel a huge gift: nearly $400 billion in cash on the company's balance sheet. Abel has put some of that cash to work buying Taylor Morrison Home, and some has been spent on publicly traded stock investments. However, Abel has also decided to buy back Berkshire Hathaway stock. That could be a positive sign. Here's why.

Under Warren Buffett, Berkshire Hathaway didn't make a habit of buying back stock. The world-famous investor preferred to put cash to work by buying shares in other companies or buying companies outright. When he did buy back Berkshire Hathaway stock, it was because he believed the shares were undervalued.

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