OMAHA, Neb. — For the first time in nearly two years, investment giant Berkshire Hathaway has returned to purchasing its own stock, while the company’s new chief executive Greg Abel voiced approval of Kraft Heinz’s choice to delay dividing into two separate entities.
Abel made a television appearance on CNBC Thursday, just days after publishing his inaugural shareholder letter since assuming leadership of Berkshire from investment icon Warren Buffett this past January. The company also filed an uncommon notification with federal securities regulators confirming it had started repurchasing shares on Wednesday, marking the first such activity since May 2024.
Last autumn when Kraft initially revealed its corporate division strategy, both Abel and Buffett raised objections due to the expenses and ongoing challenges facing certain product lines. Abel stated he supported new Kraft chief executive Steve Cahillane’s choice to postpone the separation.
“For Steve to come in and say we’re pausing it, there’s opportunities within Kraft Heinz to fix things and get the business back on track and then he’ll evaluate things. We thought that was absolutely the right approach,” Abel said.
During his CNBC interview, Abel emphasized Berkshire’s unchanged philosophy regarding share repurchases. The Nebraska-headquartered conglomerate plans to continue using portions of its massive $373.3 billion cash reserve to buy back stock when Abel and Buffett determine shares are undervalued compared to market prices. The company’s Class A stock rose over 2% Thursday, reaching $745,451.75 per share.
Abel revealed Thursday that he invested his entire $15.3 million salary for 2026 into Berkshire shares this week, pledging to maintain this practice throughout his tenure as CEO to ensure his financial interests match those of shareholders.
“As CEO, I absolutely obviously believe in Berkshire with — with the transition from Warren. And I inherited a company that has an incredible foundation. I believe in its — you know, future, the opportunities that exist there,” Abel said.
In his shareholder correspondence released last Saturday, Abel committed to maintaining the operational approach Buffett has employed over six decades. The two executives maintain regular communication as Buffett retains his chairman role and continues daily office attendance to seek new investment opportunities.
Abel confirmed this continuity includes avoiding dividend payments, as both leaders believe reinvesting company cash generates superior shareholder returns compared to distributing dividends.
The investment powerhouse controls numerous subsidiaries, including insurance companies such as Geico, the BNSF railway system, recognizable brands like Dairy Queen, multiple utility companies, and various manufacturing, retail and service enterprises including private jet company NetJets.
