Berkshire Shareholders' Meeting is here! Buffett steps back for the first time in sixty years—what to watch in the debut of the "new king"?

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On Saturday, May 2nd, Central Time, the 2026 Berkshire Hathaway Annual Shareholders Meeting will be held in Omaha.

This year marks the first time in sixty years under Buffett’s leadership that Berkshire will hold its shareholders meeting “behind the scenes.” It will become the first “stress test” for Berkshire after the completion of the succession. Since Buffett stepped down as CEO at the end of last year, Greg Abel will for the first time host the public Q&A session as CEO, signaling that the trillion-dollar enterprise Buffett built has officially entered the “post-Buffett era.”

The 95-year-old Buffett will attend this shareholder meeting but will no longer preside over the Q&A from on stage, instead only attending as a member of the board. Abel will take full responsibility for hosting the Q&As in both the first and second halves. Analysts note that the meeting’s style is expected to shift from Buffett’s investment philosophy and life wisdom to a greater focus on business topics such as operations and capital allocation. For investors, this is their first close-up look at whether Abel can steer Berkshire; investor sentiment will to some extent depend on his performance.

Berkshire’s Q1 financial report will also be released on the same day as the Q&A, Saturday morning Eastern Time, adding another layer of market attention. The “new small investment” that Buffett revealed in a media interview last month has yet to publicly disclose its target, and is expected to be a focal point at the meeting.

So far this year, both Berkshire A shares and B shares have fallen more than 5%, underperforming the S&P 500 by about 10 percentage points. Since Buffett announced his retirement plan last May, Berkshire has underperformed the S&P by more than 30 percentage points. In Abel’s first shareholder letter, released after he took over, investors generally felt that his disclosure on future strategy was still lacking, and the market is looking for more clarity from this meeting.

For years, Berkshire’s core culture has been “decentralization and permanent holding.” However, Abel’s management style is more operations-focused, and he has begun implementing some organizational adjustments. Compared to Buffett’s “hands-off” approach of only reading reports, Abel communicates more frequently with subsidiary CEOs and interacts more with management and the board. The market is watching to see whether Abel will change the tradition of “long-term holding” after acquisitions, whether he will strengthen headquarters’ management control over businesses, and whether he will promote more systematic performance and capital return mechanisms.

The Tradition Continues, But “Lead Role” Switches to Abel: From a “Carnival” to an Institutionalized Meeting

According to the official Berkshire announcement, this year’s shareholder meeting will retain the classic structure built up over many years, but with key changes to the core sessions:

• Time and Place: May 2, 2026, CHI Health Center, Omaha, Nebraska, USA
• Formal Shareholders Meeting: Starts at 2 PM local time in Omaha to consider the election of directors, executive compensation votes, and other routine proposals. The Q&A with shareholders begins at 9:30 AM local time (10:30 PM Beijing Time on May 2), which is an hour and a half later than last year’s meeting. (Click to view last year’s meeting Q&A live blog)
• Core Session—Q&A Meeting: Led by Abel, replacing Buffett’s decades-long role as chief host.
• Q&A Structure Adjustment: Split into two sessions, each about 75 minutes.
  • First session: Abel and Ajit Jain, head of Berkshire’s insurance business, answer questions together, from 9:30 to 10:45 AM local time.
  • Second session: Abel, BNSF Railway CEO Katie Farmer, and NetJets CEO Adam Johnson answer questions together, from 11:45 AM to 1:00 PM, ending at 2:00 AM Beijing Time on the 3rd, same as last year’s Q&A.

Compared to the previous 4-5 hour Q&As hosted by Buffett, the overall length is significantly shortened to three and a half hours this year. Having subsidiary leaders join the Q&A panel is the most symbolically significant change to this year’s shareholder meeting format. Analysts believe this is meant to diffuse the spotlight, previously highly concentrated on Buffett, and send a message that Berkshire’s authority will no longer depend on personal charisma, but on a more diverse operational system.

Despite clear changes in the Q&A format, the meeting still retains its traditions:

• Pre-meeting events typically include a company video, shareholder networking, and shopping activities (the hallmark of the “Capitalist Woodstock”).
• The Q&A remains the core content of the day, focusing on investment, macro issues, and business operations. The open mic session for shareholder questions is retained, supplemented by written questions screened by CNBC anchor Becky Quick.
• The Q&A continues to be broadcast live on CNBC, expanding its influence and providing both English and Mandarin streaming. The broadcast will start at 8:15 AM local time on the 2nd.

However, from a governance perspective, this meeting will emphasize issues like board elections and executive compensation frequency votes, underlining the increased importance of corporate governance frameworks.

Core Highlights: Cash, Share Repurchases, and Buffett’s “Hand Behind the Scenes”

For investors, one of the hottest topics at this meeting will be the destination of Berkshire’s $373 billion in cash and Treasury reserves.

One of Berkshire’s core problems is how to deploy its massive cash reserves. By the end of 2025, Berkshire’s cash holdings hit an all-time high, and Buffett revealed last month that another $17 billion in Treasuries was purchased in March.

Buybacks are also under the spotlight. In March, Berkshire resumed share buybacks—paused for nearly two years—worth about $226 million. Abel also announced he would use his entire after-tax salary (about $15 million) to personally purchase Berkshire shares and said he would continue this for as long as he is on the job.

UBS analyst Brian Meredith wrote in a research report that Berkshire currently trades at about an 8% discount to its intrinsic value and is expected to buy back about $1.7 billion in shares over the year. Meredith wrote: “Given that the discount to intrinsic value has further widened since the buyback announcement, we believe buyback activity will be a key variable affecting investor sentiment.”

Another unresolved topic is what practical role Buffett still plays in investment decisions. According to Buffett, he still goes to work every day, talks to Berkshire’s director of financial assets Mark Millard before markets open and adjusts limit orders based on pre-market dynamics, then receives each day’s transaction records hourly. Abel reviews the trades and has the final say.

Buffett said: “As long as Greg (Abel) thinks it’s inappropriate, I won’t execute it.” This leads the market to closely watch the substance of the power handoff. Berkshire’s Q1 13F filing, to be disclosed on May 15, may offer more clues.

Performance Pressures: Insurance Profits Decline, Share Price Lags the S&P

The backdrop for Abel’s debut is far from easy. Media sources say this shareholders meeting is crucial to testing whether Abel can maintain the “Buffett premium.” In Q4 2025, Berkshire’s operating profit dropped nearly 30% year-on-year, mainly dragged down by a 54% plunge in insurance underwriting profits. This result has further unsettled investors already wary due to the leadership transition.

Bill Stone, Chief Investment Officer at Glenview Trust, said: “It’s hard to expect a sharp increase in profits this year. The base in insurance is simply too high, and year-on-year comparisons are very difficult. I generally expect zero earnings growth this year, and that’s the key driver for the share price.”

CFRA analysts also highlighted potential downside risks: the erosion of insurance pricing and claims trends, especially if automobile tariffs reignite claims inflation pressure, while commercial property insurance prices are also weakening. At the same time, broader economic weakness could suppress demand across Berkshire’s many businesses.

Morningstar estimates Berkshire’s fair value at $765,000 per A share ($510 per B share), giving it a four-star rating, saying it’s about 7% undervalued with a “low” uncertainty rating.

Morningstar also pointed out that Abel will face very different standards than Buffett—he will be judged as both an operator and as an investor, while “in the Buffett era, shareholders long gave wide latitude on the scorecard out of trust in Buffett and Munger, but such indulgence may not continue in the future.”

Abel’s Challenge: Maintain Tradition or Create a New Era?

Analysts broadly believe Abel will need to answer a core question: how to uphold Berkshire’s unique culture while also demonstrating his own strategic vision.

Macrae Sykes, portfolio manager at Gabelli Funds, said no one can truly replace Buffett on stage, but Abel “definitely gives confidence in operational continuity.”

Steve Check, founder of Check Capital Management, raised a more specific issue: “I’d like to hear more about Berkshire’s investment management approach—why is Greg (Abel) directly overseeing 90%+ of the investment portfolio while also managing the operating companies? Can he do both jobs well at the same time?”

Technology and AI, that is, whether Berkshire will further invest in technology and AI assets, is also likely to be a focus of shareholder questions. UBS said, “Considering Berkshire’s longtime underweight in tech, we expect the discussion to focus more on how the company will address tech and AI issues under Abel’s leadership.”

Sykes also predicted: “There will definitely be questions about AI—which lines of business will be impacted, which may benefit, and how the company will adapt to this highly dynamic economic environment.”

It’s notable that at the end of last year, Berkshire quietly built a position in Alphabet, which was seen as a signal the company is becoming more positive on technology. With Abel’s background in energy and utilities, the market also expects Berkshire to further invest in energy transition issues.

On a stage shrouded by the aura of a legendary predecessor, how Abel explains his strategy, answers questions, and balances tradition and innovation will, to a great extent, set the tone for his tenure.

Risk Warning and DisclaimerThe market carries risks and investment should be approached cautiously. This article does not constitute personal investment advice and does not take into account your individual investment objectives, finances or needs. Users should consider whether any opinions, views or conclusions in this article suit their particular circumstances. You are solely responsible if you invest according to this article. ```