Warren Buffett's Buying Spree on Hold as Stock Reaches New Heights

Berkshire Hathaway Halts Share Repurchases as Stock Reaches All-Time High

Warren Buffett's conglomerate Berkshire Hathaway has paused its share repurchase program as the company's stock price nears an all-time high.

According to a filing with the Securities and Exchange Commission (SEC), Berkshire Hathaway has temporarily halted its share repurchase program, effective March 24, 2023. The decision comes as the company's Class A shares have surged to a record high, trading above $430,000 per share.

The repurchase program, which was initially announced in 2018, allowed Berkshire Hathaway to buy back its own shares in the open market. The program was designed to return capital to shareholders and reduce the company's outstanding share count.

In its latest quarterly earnings report, Berkshire Hathaway revealed that it had repurchased approximately 2.2 million shares in the fourth quarter of 2022, with a total value of around $1.1 billion. However, the company has now paused the program as it assesses the current market conditions and evaluates the impact of the recent stock price surge.

The decision to pause the share repurchase program is likely a prudent one, given the current market volatility and the company's own stock price performance. Berkshire Hathaway's stock has more than doubled over the past year, driven by the company's strong earnings and the perceived value of its diverse portfolio of businesses.

The pause in share repurchases may also be seen as a sign that Berkshire Hathaway is focusing on other priorities, such as investing in its various business subsidiaries and maintaining its strong financial position.

As the company continues to navigate the current market environment, investors will be watching closely to see when Berkshire Hathaway will resume its share repurchase program and what impact this may have on the company's stock price.