Berkshire Hathaway Ends Selling Streak With Alphabet Investment

Berkshire Hathaway reported a second-quarter net income of $25.67 billion, more than doubling the $12.37 billion earned in the previous year. Under CEO Greg Abel, who took office on January 1, 2026, the conglomerate ended a 14-quarter streak as a net seller of shares, purchasing approximately $23.5 billion in equity securities while selling $3.7 billion.

The company reduced its record cash stockpile from $397.4 billion in March to $365.5 billion by the end of June. This deployment included a $10 billion private placement in Alphabet Inc. to support artificial intelligence infrastructure, an investment initiated by Chairman Warren Buffett. Additionally, the firm acquired homebuilder Taylor Morrison for $6.8 billion on July 24 and significantly accelerated share buybacks, spending $4.5 billion in the second quarter and another $3.3 billion in July.

Operating earnings rose 16% to $12.98 billion, supported by growth in BNSF Railway, energy, and manufacturing. However, the auto insurer GEICO saw a 45% drop in pre-tax underwriting profit due to rising accident claims and marketing costs. Greg Abel maintained that investments are based on growing the company's intrinsic value per share.