Berkshire deploys $16.8 billion in two days as Greg Abel makes his mark

Berkshire Hathaway has committed $16.8 billion across two major transactions in just two days, offering the clearest sign yet that new Chief Executive Greg Abel is beginning to put his own stamp on the conglomerate following his succession of Warren Buffett.

The company agreed to invest $10 billion in a private placement by Alphabet, Google's parent company, as part of the tech giant's $80 billion equity fundraising aimed at expanding its artificial intelligence infrastructure. The investment deepens Berkshire's exposure to AI and is expected to elevate Alphabet into the conglomerate's top five equity holdings.

The move comes after Berkshire began building a position in Alphabet in 2025. As of March 31, the company held Alphabet shares worth $16.6 billion. The latest investment also marks a notable shift from Buffett's long-held caution toward technology stocks, though he had previously acknowledged missing an opportunity to invest in Google earlier.

In a separate deal announced on Sunday, Berkshire agreed to acquire homebuilder Taylor Morrison Home Corp for $6.8 billion. The acquisition strengthens Berkshire's presence in the US housing market, complementing its existing businesses that span manufactured housing, construction materials and residential real estate brokerage.

The twin deals address growing investor calls for Berkshire to put its massive cash pile to work. The conglomerate held $380.2 billion in cash and equivalents at the end of March, a figure many shareholders viewed as a drag on returns. Berkshire's stock has fallen 13% from its record high in May 2025, while the S&P 500 has gained 34% over the same period.

Investors see the latest investments as an early indication of Abel's capital allocation strategy. Market participants have long debated whether Berkshire should pursue larger acquisitions, increase share buybacks or introduce a dividend to deploy excess cash, Reuters reported.

With interests spanning railroads, energy, manufacturing, retail and insurance, Berkshire remains one of the largest and most diversified conglomerates in the United States. The latest investments suggest Abel is willing to take a more active approach to deploying capital while maintaining Berkshire's long-standing focus on long-term value creation.