Abel's Key Investments at Berkshire Hathaway Post-Appointment
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 30 2026
0mins
Source: Fool
- Successful Oxychem Acquisition: Berkshire Hathaway's acquisition of Oxychem for $9.7 billion came at a strategic low point in the chemical industry, with an estimated 8x EBITDA for 2025, enhancing the company's competitive edge while retaining preferred shares in Occidental, yielding an 8% dividend.
- Strategic Investment in Tokio Marine: Abel's $1.8 billion investment for a 2.5% stake in Tokio Marine, with the option to increase to 9.9%, strengthens Berkshire's insurance business through a risk-sharing agreement, despite paying nearly double the book value, which could yield significant returns.
- Precise Timing for Alphabet Increase: Abel's decision to triple Berkshire's investment in Alphabet to $11 billion in Q1 positioned it as the fifth-largest equity holding, benefiting from a market recovery and strong earnings, with the stock price rising approximately 35% since last quarter.
- AI-Driven Revenue Growth: Alphabet's cloud revenue surged 63%, with operating margins expanding from 17.8% to 32.9%, as AI integration enhances search and advertising revenues, indicating strong growth potential moving forward.
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Analyst Views on GOOGL
Wall Street analysts forecast GOOGL stock price to rise
33 Analyst Rating
26 Buy
7 Hold
0 Sell
Strong Buy
Current: 363.790
Low
305.00
Averages
374.25
High
400.00
Current: 363.790
Low
305.00
Averages
374.25
High
400.00
About GOOGL
Alphabet Inc. is a holding company. The Company's segments include Google Services, Google Cloud, and Other Bets. The Google Services segment includes products and services such as ads, Android, Chrome, devices, Google Maps, Google Play, Search, and YouTube. The Google Cloud segment includes infrastructure and platform services, collaboration tools, and other services for enterprise customers. Its Other Bets segment is engaged in the sale of healthcare-related services and Internet services. Its Google Cloud provides enterprise-ready cloud services, including Google Cloud Platform and Google Workspace. Google Cloud Platform provides access to solutions such as artificial intelligence (AI) offerings, including its AI infrastructure, Vertex AI platform, and Gemini for Google Cloud; cybersecurity, and data and analytics. Google Workspace includes cloud-based communication and collaboration tools for enterprises, such as Calendar, Gmail, Docs, Drive, and Meet.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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