Berkshire Hathaway's Cash Reserves Reach Record High Ahead of U.S. Election

Berkshire Hathaway has announced that it now holds a record cash reserve of $325.2 billion. This information was revealed in the company’s third-quarter earnings report filed recently.

The Omaha-based multinational firm is actively divesting certain holdings to increase its cash reserves as it prepares for the upcoming U.S. election.

Billionaire chairman and CEO Warren Buffett has been reducing the company’s investments in Apple Inc., of which Berkshire Hathaway is the largest single shareholder. The company's stake in Apple has decreased to approximately $69.9 billion, down from $84.2 billion at the end of the prior quarter.

Overall, Berkshire Hathaway reported net share sales amounting to $34.6 billion during this quarter.

Additionally, the company has spent $2.9 billion on share repurchases during the first nine months of 2024. This repurchasing activity has become increasingly pricey, with Berkshire Hathaway’s stock trading at $452.14 at the close of trading on Friday, up from $405.19 at the end of July.

In a previous earnings report in May, Berkshire Hathaway noted a total of $189 billion in cash reserves, which was a record at that time. Buffett expressed that he is comfortable building the cash position under the current conditions.

Buffett indicated during the shareholder meeting that Berkshire Hathaway is likely to remain the largest shareholder in Apple stock moving forward.

Berkshire, Buffett, Cash