Buffett Hunted Big Deals to His Last Days as Berkshire CEO

Warren Buffett led Berkshire Hathaway for 55 years until handing the CEO role to Greg Abel on January 1, 2026. The 94-year-old investor spent his last months as CEO searching for huge company buys, known as 'elephant' deals, but found few good ones. He often said Berkshire's massive size was not the problem—real chances were hard to find.

Background

Berkshire Hathaway started as a small textile company that was losing money when Buffett took control in the 1960s. Over decades, he turned it into a giant with businesses in insurance, railroads, energy, food, and more. By late 2025, the company had $1.15 trillion in assets and over $650 billion in shareholder equity. It employs nearly 400,000 people across dozens of units.

Buffett picked Greg Abel as his successor years ago. In 2021, he named Abel vice chairman of non-insurance operations. That put Abel in charge of key parts like BNSF Railway, Berkshire Hathaway Energy, Dairy Queen, and See's Candies. The board voted unanimously in May 2025 to make Abel CEO starting in 2026. Buffett stayed on as chairman.

This change came after careful planning. In September 2025, Berkshire updated its rules to split the chairman and CEO jobs for the first time under Buffett. He kept coming to the office five days a week to guide Abel. The shift ended Buffett's daily run of the company, which grew from a failing mill to one of the world's top firms.

Buffett's style shaped Berkshire. He gave unit bosses a lot of freedom while he handled cash and big buys. That model helped the company build a strong balance sheet with little debt and cash piles over $300 billion at times. Insurance units like GEICO brought in 'float'—money to invest before claims hit. That float topped $160 billion recently.

Key Details

In his final shareholder letter in November 2025 and talks before the handover, Buffett talked about deal hunts. He wanted 'elephant-sized' targets—big companies worth tens of billions. But good ones at fair prices stayed out of reach. Berkshire sat on cash rather than overpay.

"I'd rather have Greg handling my money than any of the top investment advisors or any of the top CEOs in the United States," Buffett told CNBC.

Abel, 63, knows the businesses well. He oversaw non-insurance units for years and learned fast, Buffett said. Abel called himself humbled by the role after 25 years at Berkshire.

Leadership Changes

The handover brought more shifts. Charles Chang, ex-CFO of Berkshire Hathaway Energy, becomes top CFO on June 1, 2026. Marc Hamburg, CFO for 40 years, retires in 2027 after training him. Michael O'Sullivan, once general counsel at Snap Inc., takes the legal chief spot on January 1, 2026. Nancy Pierce moves from GEICO COO to CEO in December 2025. Adam Johnson, CEO of NetJets, leads consumer, service, and retail units from December 2025. Ajit Jain stays vice chairman for insurance.

Abel gets a salary of $25 million in 2026, up from Buffett's $100,000 a year for decades. Abel praised new leaders like Adam Johnson for supporting unit CEOs and keeping Berkshire's ways.

Buffett's last days as CEO showed no letup in his search for deals. At the May 2025 shareholder meeting, he named the transition but kept eyes on markets. Growth slowed as Berkshire got huge—finding big impacts got harder. Still, Buffett said Abel could do more in a week than he could in a month.

What This Means

Abel takes over a steady company. Investors saw little stock drop on news, showing trust in the plan. Berkshire's cash lets it wait for good deals or buy back shares. Abel must keep the free-run model for units while using cash smartly.

Big buys may stay rare. Buffett noted few elephants roam at prices that fit. Abel might push harder or stay patient. Insurance stays key, with Jain and Pierce in place. Energy and rail units face no big shifts yet.

Culture matters too. Berkshire wins family firms that trust its fair ways. Abel must hold that trust. With Buffett as chairman, Abel gets advice close by.

Cash use tops watch lists. Piles over $300 billion wait for homes. Abel knows operations deep and shares Buffett's long view. Unit bosses keep running daily work with little Omaha input.

Buffett's exit marks a page turn. Abel leads a firm built to last through leaders. Decentralized setup and insurance edge endure. Investors eye if Abel hunts elephants his way or waits like Buffett did to the end.