Berkshire Hathaway’s Cash Reserves Soar to Record $347 Billion as Buffett Awaits Major Investment Opportunity

At the 2025 Berkshire Hathaway Annual Shareholder Meeting, legendary investor Warren Buffett revealed that the conglomerate’s cash reserves have surged to an all-time high of $347 billion. This milestone comes after ten consecutive quarters in which Berkshire sold more equities than it purchased, reflecting a cautious yet calculated investment strategy amid a shifting economic landscape.

Buffett, 94, addressed shareholders with his characteristic candor and long-term perspective, explaining that Berkshire is maintaining a defensive position while awaiting the right moment to deploy its capital. “We’re always ready to act, but only when the odds are heavily in our favor,” Buffett said. “In this environment, patience isn’t just a virtue—it’s a strategy.”

Record Cash Pile Reflects Strategic Caution

The massive cash reserve reflects Buffett’s disciplined approach in a time of elevated asset valuations and economic uncertainty. Despite rumors of Berkshire preparing to make a large acquisition, Buffett clarified that the company came close to executing a $10 billion investment earlier this year, but ultimately walked away. “It was a good business,” he noted, “but not good enough.”

For Berkshire, “good enough” typically means businesses that offer strong fundamentals, a sustainable competitive advantage, and a price that leaves room for meaningful returns. Buffett’s hesitancy to invest underscores his belief that market exuberance has inflated valuations across many sectors, leaving fewer clear-cut bargains.

This conservatism, however, doesn’t mean inactivity. Buffett emphasized that Berkshire is fully prepared to act decisively when a high-value opportunity arises. “We’ve got the capital, we’ve got the people, and we’ve got the willingness,” he said. “We just need the right deal.”

Preference for Stocks Over Real Estate

In a notable shift from previous years, Buffett stated that Berkshire currently sees more compelling opportunities in the U.S. stock market than in real estate. This perspective reflects growing concerns over the commercial property sector, which has been hit hard by rising interest rates, declining office occupancy, and tightening credit conditions.

“The math just doesn’t work for most real estate investments today,” Buffett explained. “We’re seeing better return prospects, more flexibility, and more clarity in certain segments of the equity market than we are in property.” While he didn’t name specific sectors, his comments suggest a continued preference for scalable, capital-efficient businesses with durable earnings power.

Implications for Investors

Berkshire’s ballooning cash position has sparked both admiration and concern among investors. Some see it as a sign of prudent capital management, while others worry that the company is struggling to find compelling growth opportunities. Buffett, however, dismissed these concerns. “Having too much cash is a nice problem to have,” he quipped. “It’s a call option on the future.”

He added that while holding large amounts of cash may suppress short-term returns, it gives Berkshire the flexibility to pounce on major opportunities when others can’t. “We’re not in the business of predicting the next quarter—we’re positioning for the next decade,” he emphasized.

Looking Ahead

As Warren Buffett prepares to retire at the end of 2025, his final year as CEO will be defined in part by what Berkshire does—or doesn’t—do with its record-setting cash pile. While Buffett made clear that Berkshire is not in a rush, the company’s readiness to act quickly in the event of market dislocation could turn 2025 into a pivotal year.

With successor Greg Abel set to take the reins, the meeting also underscored the continuity of Berkshire’s value-driven, long-term strategy. “The principles remain the same,” Buffett said. “We wait for the right pitch. And when it comes, we swing big.”