Omaha, Nebraska: Warren Buffett, the legendary investor often dubbed the “Oracle of Omaha”, has announced he will step down as chief executive officer of Berkshire Hathaway by the end of 2025, concluding an extraordinary 60-year tenure at the helm of one of America’s most iconic conglomerates. The 94-year-old investor will be succeeded by Vice Chairman Greg Abel, marking a historic transition in the company’s leadership.
“I think the time has arrived where Greg should become the chief executive officer of the company at year end,” Buffett told shareholders during Berkshire’s annual meeting in Omaha on Saturday.
The announcement came as a surprise to many, including most of Berkshire’s board, with only Buffett’s children — all board members — informed ahead of time. Abel, 62, has served as Berkshire’s vice chairman since 2018 and was publicly identified in 2021 as Buffett’s likely successor.
Warren Buffett is ending his career as perhaps the world's most famous and revered investor, saying he will step down as chief executive of Berkshire Hathaway at the end of 2025, and hand over the reins to Vice Chairman Greg Abel https://t.co/jvf3nmuyY5 pic.twitter.com/VPvq62tEiH
— Reuters (@Reuters) May 3, 2025
“I couldn’t be more humbled and honored to be part of Berkshire as we go forth,” Abel said at the meeting, drawing applause from shareholders.
Despite stepping down from the top post, Buffett made it clear he will retain his Berkshire shares and has “zero” intention of selling them. Nearly all of his holdings are slated for donation after his passing.
Buffett’s retirement marks the end of an era in American business. Under his leadership, Berkshire Hathaway evolved from a struggling textile manufacturer into a $1.16 trillion conglomerate spanning nearly every sector of the U.S. economy — from insurance and railroads to candy, underwear, and tech stocks.
According to Forbes, Buffett’s personal fortune now stands at $168.2 billion, nearly all of it tied up in Berkshire stock. His investment philosophy — rooted in value investing and long-term fundamentals — has inspired generations and earned him near-mythical status in the financial world.
The announcement sparked emotional reactions. Cole Smead, CEO of Smead Capital Management, said he turned to his father after hearing the news and remarked: “Well, it’s the end of an era. It’s sad, but it’s life.”
So far this year, Berkshire’s stock has climbed 19%, outperforming the S&P 500, which has slipped 3%. For many investors, Buffett’s steady leadership made Berkshire a beacon of certainty amid market volatility and trade tensions.
But questions linger over the company’s future without Buffett’s aura. “The question going forward is: will Berkshire still have a Buffett premium when Buffett is not there?” said Cathy Seifert, analyst at CFRA Research. “You’re buying a stock and you’re also getting the investing prowess of a legend. With that legend gone, what is the value?”
‘Greg Can Do Better’
Abel, who has increasingly taken on key responsibilities such as capital allocation, hinted that his leadership will be slightly more hands-on.
“More active, but hopefully in a very positive way,” Abel said when asked how his oversight would differ.
Buffett voiced full confidence in his successor: “The fact that you can do pretty well doesn’t mean you couldn’t do better, and Greg can do better.”
Preparations for the transition will continue in the coming months. Buffett noted he may still be “conceivably useful in a few cases” after stepping down.
Apple CEO Tim Cook shared his admiration for Buffett and endorsed Abel’s leadership: “There’s never been someone like Warren, and countless people, myself included, have been inspired by his wisdom. It’s been one of the great privileges of my life to know him. And there’s no question that Warren is leaving Berkshire in great hands with Greg.”
Berkshire’s shareholder gathering, famously dubbed “Woodstock for Capitalists”, draws tens of thousands to Omaha each year. The company intends to maintain this tradition, although many believe attendance may decline without Buffett as the central figure.
Buffett first assumed control of Berkshire in 1965 and, alongside longtime partner Charlie Munger — who passed away in 2023 — built it into an enduring American business empire. The firm owns close to 200 businesses including GEICO, BNSF Railway, Dairy Queen, and See’s Candies, and holds major stakes in Apple, American Express, and Bank of America.
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The Legacy of the Oracle of Omaha
A disciple of economist Benjamin Graham, Buffett stayed true to his value investing principles throughout his career. He famously lived in the same Omaha home he purchased in 1958 for $31,500, even as his wealth soared.
Under Buffett, Berkshire’s stock has risen an astonishing 5,502,284% since 1965. But his frugality and philanthropy are as legendary as his investment acumen. Since 2006, he has donated more than half of his Berkshire shares to charity. The remainder is expected to be transferred to a newly established charitable trust overseen by his daughter Susie and sons Howard and Peter.
Abel, who joined Berkshire Hathaway Energy in 1992 — years before it was acquired — has been at the forefront of Berkshire’s utility and infrastructure growth. His leadership challenge now includes maintaining the company’s culture while deciding how best to deploy Berkshire’s enormous $347.7 billion in cash and addressing the perennial question of whether to pay a dividend.
Howard Buffett, 70, is expected to eventually become the company’s non-executive chairman to help safeguard its distinctive business philosophy.
