Berkshire Hathaway builds large Alphabet stake

Berkshire Hathaway, under the leadership of CEO Greg Abel and with the involvement of Chairman Warren Buffett, has significantly increased its investment in Alphabet Inc., the parent company of Google. The conglomerate first disclosed a stake in Alphabet in the third quarter of 2025, and has since added approximately 40 million shares in the first quarter of 2026 for about $13 billion, followed by a $10 billion private placement of 28.6 million shares in June 2026. This brings Berkshire's total position in Alphabet to roughly $31.5 billion, making it the fifth-largest holding in its portfolio. Warren Buffett confirmed that he initiated the investment, citing Alphabet's high returns on capital and its AI-driven growth prospects. Greg Abel has been the primary executor of the investment, reflecting a strategic bet on Alphabet's cloud and AI businesses, including Alphabet Inc. — Google Cloud Platform, Gemini, and custom AI chips. The investment aligns with Berkshire's value-oriented approach, as Alphabet trades at a reasonable valuation despite its significant AI spending. Additionally, Berkshire has been actively repurchasing its own shares, with estimates suggesting between $5 billion and $11 billion spent in the second quarter, signaling confidence in its own stock.