Buffett Leaves $373 Billion Warning for Stock Market

Former Berkshire Hathaway CEO sold stocks and grew cash reserves as market hit record highs

Mar. 15, 2026 at 7:20pm

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As Warren Buffett stepped down as CEO of Berkshire Hathaway at the end of 2025, he left behind a massive $373.3 billion cash reserve. Buffett had spent his final years as CEO being a net seller of stocks, trimming Berkshire's investment portfolio even as the S&P 500 hit record highs. This defensive playbook has positioned Berkshire to potentially capitalize on future market downturns, perhaps offering a lesson for individual investors.

Why it matters

Buffett's actions in his final years as Berkshire's CEO, including selling stocks and growing the company's cash reserves to record levels, suggest he may have had serious concerns about the state of the stock market. His warnings about the market exhibiting "casino-like behavior" and "feverish activity" could indicate he saw signs of a potential market correction on the horizon.

The details

Berkshire sold approximately $134 billion in equities during 2024 alone, while the bull market raged. The selling continued through 2025, with Berkshire slashing its Apple position repeatedly, trimming Bank of America, and cutting its Amazon stake by 77% in the fourth quarter. During the same period, Buffett steadily grew Berkshire's war chest, increasing its cash and short-term investments from $128.6 billion in 2022 to $373.3 billion today.

  • Buffett stepped down as CEO of Berkshire Hathaway at the end of 2025.
  • Berkshire sold approximately $134 billion in equities during 2024.
  • Berkshire continued selling stocks and trimming positions throughout 2025.

The players

Warren Buffett

The former CEO of Berkshire Hathaway, known as the "Oracle of Omaha," who spent his final years as CEO selling stocks and growing the company's cash reserves to a record $373.3 billion.

Greg Abel

Buffett's successor as CEO of Berkshire Hathaway, who emphasized the company's "substantial liquidity" and ability to "respond swiftly when opportunities arise" in his first shareholder letter.

Berkshire Hathaway

The multinational conglomerate holding company that Buffett led as CEO until the end of 2025, when he stepped down and left the company with a massive $373.3 billion cash reserve.

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What they’re saying

“We must never risk permanent loss of capital.”

— Warren Buffett, Former CEO, Berkshire Hathaway (Berkshire Hathaway Annual Letter)

“The modern stock market exhibits far more casino-like behavior than when I was young, and its participants are neither more emotionally stable nor better taught.”

— Warren Buffett, Former CEO, Berkshire Hathaway (Berkshire Hathaway Annual Letter)

What’s next

Berkshire's new CEO, Greg Abel, will likely have significant flexibility to deploy the company's $373.3 billion cash reserve to capitalize on any market opportunities that arise.

The takeaway

Buffett's defensive actions in his final years as Berkshire's CEO, including selling stocks and growing the company's cash reserves to record levels, suggest he may have had serious concerns about the state of the stock market and the potential for a significant correction. This serves as a cautionary tale for individual investors to carefully evaluate their portfolios and maintain a prudent cash position to take advantage of future opportunities.