From Morningstar: 2025-05-04 13:48:00

Warren Buffett announced his plan to step down as Berkshire Hathaway CEO at the end of the year, recommending Greg Abel as his successor. Questions linger about Buffett’s role as chairman post-departure. Buffett plans to stick around for large acquisitions but leaves the board’s decision on his chairmanship.

Berkshire Hathaway faces uncertainty without Buffett at the helm after 60 shareholder meetings. Analyst Gregg Warren believes the firm is prepared for the transition, emphasizing the need to continue Berkshire’s culture of autonomy and entrepreneurship. The focus may shift towards returning capital to shareholders post-Buffett.

Speculation arises about Berkshire Hathaway paying dividends post-Buffett’s exit. Warren anticipates a shift in dividend policy under Abel’s leadership to retain shareholders. Stock was up 19% year-to-date but looked slightly overvalued according to Morningstar. Investors seek safety in Berkshire amid market volatility.

Buffett’s departure raises concerns, but Berkshire’s decentralized structure may ensure long-term survival. Warren believes Berkshire’s sound capital allocation and minimal costs will persist under new management. With businesses managed independently, the focus remains on portfolio stewardship and capital allocation.



Read more at Morningstar: What’s Next for Berkshire Hathaway as Warren…