From The Motley Fool · Sean Williams · · 1m
Warren Buffett and Greg Abel Warn Wall Street of $377 Billion Cash
Berkshire Hathaway's $377 billion cash pile signals market overvaluation to Wall Street.
In brief
Berkshire Hathaway's $377 billion cash pile signals market overvaluation to Wall Street. Berkshire Hathaway's $377.4 billion cash balance warns of historically expensive stock market valuations. Originally reported by The Motley Fool.
Berkshire Hathaway leadership change
Warren Buffett retired as CEO of Berkshire Hathaway at end of 2025, succeeded by Greg Abel.
Berkshire's cash balance surge
Berkshire Hathaway's cash pile grew to $377.4 billion in Q3 2026, enough to buy 472 S&P 500 companies.
“Berkshire Hathaway is now sitting on a staggering $365 Billion in cash, enough to buy 472 companies in the S&P 500”
Net stock sales trend
Buffett and Abel have been net sellers of stocks in 15 of the last 16 quarters.
“Warren Buffett and his successor, Greg Abel, have been net sellers of stocks in 15 of the last 16 quarters”
Market valuation indicator
The Buffett indicator reached 236.42% in August 2026, well above its historic average of 89%.
“When backtested to December 1970, the Buffett indicator has averaged approximately 89%”
Historical market context
The market has reached the most expensive valuation in history after the Buffett indicator hit 239%.
“Stock Market reaches most expensive valuation in history after the Warren Buffett Indicator hits 239%, surpassing the Dot Com Bubble, the Global Financial Crisis, and the 2022 Bear Market”
Market warning
Buffett and Abel's $377 billion cash pile signals unsustainable stock market valuations.
“Warren Buffett and Greg Abel just sent shockwaves through Wall Street with a $377 billion warning”
Here's the gist
Berkshire Hathaway's $377.4 billion cash balance warns of historically expensive stock market valuations.
