Berkshire CEO Abel Triples Alphabet Stake to 6.7% on AI Growth Bet
Berkshire Hathaway’s new CEO Greg Abel tripled his Q1 stake in Alphabet to 6.7% of the portfolio, making it the fifth-largest holding while Bill Ackman and Stanley Druckenmiller cut their positions. Abel’s aggressive 30x-earnings bet highlights confidence in Alphabet’s AI-driven growth despite high capex pressure on free cash flow.
1. Abel Triples Alphabet Stake
In Q1 2026, Greg Abel increased Berkshire Hathaway’s position in Alphabet to 6.7% of the total portfolio, up over 200% from the prior quarter, elevating it to the company’s fifth-largest holding.
2. Contrasting Investor Moves
Bill Ackman and Stanley Druckenmiller reduced their Alphabet stakes during the same period, signaling divergent views among top investors on the company’s valuation and growth outlook.
3. AI Growth Thesis
Abel’s move underscores a strategic bet on Alphabet’s leadership in AI technologies, as the company continues to invest in AI research, cloud services, and advertising algorithms.
4. Capex and Cash Flow Pressure
Alphabet’s substantial capital expenditures for data centers and AI infrastructure have strained free cash flow, raising questions about near-term profitability and return on investment.
