From 1964 to 2024, Berkshire Hathaway under Warren Buffett delivered a compounded annual gain of 19.9%, nearly doubling the S&P 500’s 10.4% annualized return over the same period. That performance translated into an overall gain of more than 5.5 million percent, according to the company’s latest annual report. In 1964, Class A shares traded around $19; by the end of 2025, a single share was valued at over $750,000. The shares added another 10% for the calendar year 2025, bringing total compounded growth across Buffett’s tenure to an unparalleled level that dwarfs virtually every other long-term investment track record.

On December 31, 2025, Warren Buffett stepped down as Chief Executive Officer after 60 years, handing operational control to Vice Chairman Greg Abel while retaining his role as Chairman. Abel, who joined the company in 2000 and has overseen all non-insurance businesses since 2018, will now author the annual shareholder letter—a tradition begun by Buffett in 1965—and lead the firm’s day-to-day capital allocation decisions. Shareholders are reassured that Buffett will remain on campus in Omaha and available for counsel, particularly for major strategic opportunities or market dislocations.

Berkshire’s performance was built on a disciplined approach: deploy insurance float as low-cost capital; acquire companies with durable, free-cash-flow profiles; and grant portfolio managers broad autonomy under a centralized capital allocation framework. Core equity stakes in consumer stalwarts like Coca-Cola and American Express, combined with wholly owned holdings in railroads, utilities and manufacturing, drove half a century of outperformance. The company’s steadfast refusal to split its Class A shares has cultivated a long-term oriented shareholder base and discouraged speculative trading.

As of September 30, 2025, Berkshire held more than $350 billion in cash and equivalents, up roughly 5 percent from mid-year, giving Abel significant dry powder for future acquisitions or stock buybacks should the board choose to authorize them. Analysts note that Berkshire’s vast liquidity and Buffett’s continued chairmanship may temper investor impatience and preserve the firm’s patient, value-oriented culture. However, in the post-Buffett era, markets will watch closely to see if the conglomerate maintains its unrivaled compounding engine or gradually converges toward industry norms under new leadership.