Berkshire Hathaway stock declined over 10% after Warren Buffett announced retirement

From Yahoo Finance: 2025-06-24 10:26:00

Berkshire Hathaway’s stock price dropped over 10% since Warren Buffett announced his retirement as CEO, ending his 60-year tenure. Shares fell 5% immediately after the news, with a continued decline to over 10%. Losses in operating profit and net profit in Q1 2025, along with other factors, have dampened investor sentiment.

Investors previously paid a “Buffett premium” for Berkshire stock, but since Buffett’s retirement announcement, this has eroded. Berkshire’s stock underperformed during the period, with a 10% decline in Class B shares. The company’s leadership transition, coupled with financial losses, has contributed to the stock’s decline.

Warren Buffett’s retirement, and the subsequent decline in Berkshire’s stock, signal the end of an era for the company. While some worry about future performance under new leadership, others see a buying opportunity given the company’s strong balance sheet. Investors will closely monitor Greg Abel’s leadership to see if Berkshire can maintain its legacy.



Read more at Yahoo Finance: Berkshire Hathaway Has Declined Over 10% Since Warren Buffett Announced His Retirement. Is the Stock a Buy?