In a significant deployment of capital, Berkshire Hathaway has announced its two largest deals since Greg Abel took over as CEO, committing a total of $16.8 billion. One investment is directed towards the acquisition of homebuilder Taylor Morrison, while the other supports Alphabet's strategic push in artificial intelligence.

These moves may address investor concerns. Since succeeding Warren Buffett as chief executive in January, there has been considerable pressure on Abel to more actively utilize Berkshire's massive cash reserves.

Many investors and analysts argue that the company's enormous cash pile, which stood at $380.2 billion as of March 31, has been a drag on the share price of the Omaha, Nebraska-based conglomerate.

The company's stock is down 13% from its record high reached in May 2025, while the S&P 500 index has gained 34% over the same period.

Steven Check, president of Check Capital Management in Costa Mesa, California, stated, "Everyone has been waiting for Greg to step out of Warren Buffett's shadow and make his own mark with investments, and now we are seeing it. This is encouraging." His firm manages $2.4 billion in assets, with over $700 million invested in Berkshire stock and options.

On Monday, Berkshire Hathaway agreed to purchase $10 billion worth of stock in Alphabet, Google's parent company, through a private placement as part of the tech giant's $80 billion equity financing plan.

This investment signals Berkshire's confidence in Alphabet's leadership position within the artificial intelligence sector.

Berkshire initiated its investment in Alphabet in the third quarter of last year, holding $16.6 billion in stock as of March 31. This latest commitment will solidify Alphabet as one of Berkshire's top five equity holdings.

This represents a notable shift from Buffett's historical reluctance to invest heavily in technology companies. He has previously characterized his investment in Apple as a bet on the consumer.

At Berkshire's annual meeting in 2019, both Buffett and the late Vice Chairman Charlie Munger expressed regret over not investing in Google earlier. Buffett noted that Google's advertising model closely resembled the successful approach of Berkshire's auto insurer, Geico.

"We screwed up," Munger said.

"What he means is we missed it," Buffett replied. Buffett continues to serve as Chairman of Berkshire Hathaway.

On Sunday, Berkshire announced a $6.8 billion deal to acquire Taylor Morrison. This acquisition will expand Berkshire's footprint in the housing industry, which already includes the manufactured-home business of Clayton Homes and sales of bricks, paint, and insulation. Berkshire also operates one of the largest residential real estate brokerages in the United States.

Despite Berkshire's commitment to maintaining a $30 billion cash cushion, investors suggest the company could consider more aggressive stock buybacks or, potentially, issue a dividend for the first time since 1967.