Berkshire Hathaway Enters the Post-Buffett Era as Shares Drift Lower

Episode

Berkshire Hathaway just officially entered its post-Warren Buffett era, with Greg Abel taking over as CEO. The stock slipped on day 1 even as the broader market rose, a reminder that “succession discount” risk is real, even for iconic compounders.

What happened

Greg Abel has taken the top job after Buffett’s 60-year run building Berkshire into a more than $1 trillion conglomerate.

Berkshire shares dipped on the first trading day of the transition (Class A and B both down, while major indexes were up).

Berkshire is sitting on a record cash pile (about $381.7 billion as of Sept 30), while finding it hard to do acquisitions large enough to “move the needle.”

Berkshire has been trimming stakes in $AAPL and $BAC, adding  ...