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2 Reasons to Buy Berkshire Hathaway Stock Now

newsfeedback@fool.com (Prosper Junior Bakiny)
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⚡ Quantum Brief
Warren Buffett stepped down as CEO in May 2025, leaving Berkshire Hathaway under new leadership after decades at the helm. Greg Abel, the new CEO, pledged to preserve Berkshire’s culture, emphasizing unchanged values in his first shareholder letter, reassuring continuity despite Buffett’s departure. The stock dropped nearly 10% since Buffett’s exit, underperforming the S&P 500’s 20% gain, creating a potential buying opportunity for long-term investors. Abel inherits a cash-rich, diversified conglomerate with strong subsidiaries, reducing the need to rebuild from scratch, unlike Buffett’s early challenges. Analysts highlight Berkshire’s resilient foundation and Abel’s Buffett-backed leadership as key reasons to consider the stock at current valuations.
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By Prosper Junior Bakiny – Mar 9, 2026 at 6:45AM ESTKey PointsBuffett is no longer CEO, but his legacy will live on at Berkshire Hathaway.It's worth buying the conglomerate's shares at their current levels.Things have changed significantly for Berkshire Hathaway (BRKA 0.39%) (BRKB 0.27%) during the past five years. One of the conglomerate's architects, Charlie Munger, died back in 2021. And last year, its longtime chief executive officer and legendary investor, Warren Buffett, said he was stepping down as the company's head. Given these changes, many investors are skeptical of Berkshire Hathaway's future. However, there are still good reasons to buy the stock. Let's consider two of them. Image source: Getty Images. 1. An enduring culture What has made Berkshire Hathaway so successful during the past few decades? Buffett and Munger's leadership is undoubtedly an important part of it. They ran the company, acquired new subsidiaries, and invested in stocks according to a set of principles and a culture they fostered across the entirety of the business. It's going to be hard for anyone to fill Buffett and Munger's shoes, but Greg Abel, the company's new CEO, seems determined to run Berkshire Hathaway according to the same set of principles, something he communicated quite explicitly both within the company and to outside observers. As Abel said in his recent first letter to shareholders as CEO of the conglomerate, "Last month, I sent a letter to our employees to emphasize that Berkshire's culture and values remain unchanged and will continue into perpetuity." ExpandNYSE: BRKABerkshire HathawayToday's Change(-0.39%) $-2949.89Current Price$747800.01Key Data PointsMarket Cap$1.1TDay's Range$738000.00 - $749999.6052wk Range$685150.00 - $812855.00Volume166Avg Vol709Gross Margin23.63% Abel shared this letter with Berkshire Hathaway's shareholders. Now, the good news is that Abel does not have to emulate Buffett and Munger exactly. After all, when the latter first started, they had nothing like a Berkshire Hathaway in its current iteration to work with. Abel is inheriting a robust, cash-rich corporation with a significantly diversified pool of subsidiaries, many excellent leaders, and a culture and legacy of excellence. He isn't building from scratch. It's not that leading Berkshire Hathaway from here on out will be easy, but having to start over would be exponentially harder, in my opinion. Given Abel's long tenure with the company, his track record as he oversaw the company's noninsurance operations, the fact that he was chosen by Buffett himself, and his intention to keep the foundations and culture of the business intact, Berkshire Hathaway's future still looks bright. 2. Scooping up shares on the dip Buffett announced his retirement on May 3, 2025, during the company's annual shareholder meeting. The stock fell sharply after the announcement, and although it has recovered somewhat, it is still down almost 10% since then. Meanwhile, the S&P 500 is up by a strong 20% during the same period. BRK.B data by YCharts Berkshire Hathaway's poor share performance during the past 10 months no doubt reflects the fact that some investors no longer want anything to do with the company now that Buffett isn't leading it. For those who put their faith -- and it isn't a blind faith, as we have seen -- in Abel's ability to successfully head the company from here on out, this represents a great opportunity to purchase Berkshire Hathaway's shares on the dip.Read NextMar 5, 2026 •By Matt Frankel, CFPBerkshire Hathaway Just Gave Investors a New Reason to Be ExcitedMar 2, 2026 •By Motley Fool StaffBerkshire Hathaway's Last Buys With Warren Buffett as CEOFeb 25, 2026 •By Matt Frankel, CFPHere's How Berkshire Hathaway Beats The Market From HereJan 28, 2026 •By Reuben Gregg BrewerShould You Buy Berkshire Hathaway Stock Before Feb. 27?Jan 21, 2026 •By Howard SmithPrediction: Now That Warren Buffett Has Retired, Berkshire Hathaway Could Make These Big Moves in 2026Jan 11, 2026 •By Reuben Gregg Brewer1 Reason Now Is a Great Time to Buy Berkshire Hathaway StockAbout the AuthorProsper Junior Bakiny is a contributing Motley Fool healthcare analyst covering biotechnology, pharmaceuticals, and healthcare stocks.

Before The Motley Fool, Prosper wrote about investing topics ranging from stock market news to private equity for various companies. He holds a master’s degree in corporate finance from the University of Maryland Global Campus.TMFPBakinyStocks MentionedBerkshire HathawayNYSE: BRKA$747,800.01(-0.39%)-$2,949.89Berkshire HathawayNYSE: BRKB$499.04(-0.27%)-$1.36*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

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