Greg Abel, who took over as chief executive of Berkshire Hathaway in January, has authorized $16.8 billion in commitments over two days that include buying homebuilder Taylor Morrison and participating in Alphabet’s $80 billion equity raise. The moves represent a marked increase in spending by the Omaha, Nebraska-based conglomerate and may address investor concerns about the firm’s sizable cash balance.
On Monday, Berkshire agreed to acquire $10 billion of Alphabet stock through a private placement as part of the Mountain View, California-based company’s broader $80 billion equity offering. The company began investing in Alphabet in last year’s third quarter and held $16.6 billion of Alphabet shares as of March 31. Berkshire’s latest purchase is expected to push Alphabet into Berkshire’s top five common stock positions, which remain dominated by Apple.
Earlier, on Sunday, Berkshire announced a $6.8 billion acquisition of Taylor Morrison, a homebuilder operating across 12 U.S. states. The purchase expands Berkshire’s footprint in the housing sector alongside existing businesses such as Clayton Homes, suppliers of building materials like bricks and paint, and one of the largest U.S. residential real estate brokerages operated by the conglomerate.
Investors have long criticized Berkshire’s large cash stockpile as a drag on the company’s share performance. Berkshire held $380.2 billion in cash as of March 31. The company’s shares are down 13% from a record high reached in May 2025, while the technology-heavy Standard & Poor’s 500 has gained 34% over the same interval.
"Everyone has been waiting for Greg to do his thing, beyond Warren Buffett’s shadow, and we’re now seeing that," said Steven Check, president of Check Capital Management in Costa Mesa, California, which manages $2.4 billion and has allocated more than $700 million to Berkshire stock and options. "It’s encouraging."
The $10 billion placement in Alphabet was presented by Berkshire as a sign of confidence in Alphabet’s position in artificial intelligence. The company’s entry into Alphabet equity is notable given Warren Buffett’s historically cautious approach to large technology investments; Buffett remains chairman of Berkshire Hathaway.
At the same time, the Taylor Morrison acquisition reinforces Berkshire’s continued interest in housing-related businesses. The conglomerate’s holdings across transportation, energy, manufacturing and retail - including the BNSF railroad and retail names such as Dairy Queen, Fruit of the Loom and See’s Candies - reflect a broad slice of the U.S. economy.
Berkshire has said it intends to retain a $30 billion cash cushion. Investors have suggested the company could use some of its cash for additional share repurchases or to institute a dividend, the first since 1967, though no changes in those policies were announced with these transactions.
Berkshire did not immediately respond to a request for comment on the Alphabet investment, and it declined further comment on the Taylor Morrison deal. Greg Abel’s rapid deployment of capital in these two transactions may begin to satisfy shareholders who have urged the company to be more active in putting its cash to work.
Contextual note: The information above reflects Berkshire’s publicly stated transactions and the figures reported as of March 31 and May 2025. Details beyond those figures were not provided.