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Berkshire Hathaway’s new general counsel, Michael O’Sullivan, purchased 536 Class B shares for $250,000 on Wednesday.

The purchase follows Berkshire stock lagging behind the S&P 500, with Class B shares down 6.5% this year.

CEO Greg Abel, a billionaire, holds a Berkshire stake potentially less than 20% of his net worth, prompting calls for more buys.

Berkshire Hathaway’s new general counsel purchased $250,000 in his company’s stock on Wednesday. It was his first purchase since taking the job on Jan. 1.

Michael O’Sullivan bought 536 Class B shares
BRK.B

+0.18%

at an average price of about $468 per share and now holds 663 shares worth about $300,000, according to a Form 4 filing with the Securities and Exchange Commission late Wednesday.

O’Sullivan joined Berkshire
BRK.A

at the start of the year in a newly created general counsel position. Berkshire had previously relied on outside attorneys for most of its legal work.

Before Snap, O’Sullivan spent more than 20 years at Munger, Tolles & Olson, the firm co-founded by former Berkshire vice chairman Charlie Munger who died at 99 in 2023. Munger’s firm has done a good chunk of Berkshire’s legal work.

https://www.barrons.com/articles/berkshire-insider...

" Some Berkshire investors might like to see more insider purchases, especially from Abel. The Berkshire CEO is believed to be a billionaire with most of his wealth stemming from his sale of a 1% stake in Berkshire Hathaway Energy, where he had been CEO before coming to the parent company in 2018, for $870 million in cash in 2022.

That was a generous price—almost double the valuation that Berkshire paid to the estate of former Berkshire director Walter Scott for an 8% stake in Berkshire Hathaway Energy in 2024.

Abel owns 249 Berkshire Class A shares worth around $175 million and Class B shares worth about $1 million.

That Berkshire stake could be less than 20% of his net worth. Given his wealth, he probably could own a lot more Berkshire stock and a purchase at current levels likely would be a bullish sign for the stock. The shares now trade around 1.4 times Berkshire’s March 31 book value and closer to 1.3 times a projected June 30 figure—below the average valuation of recent years.

Berkshire’s proxy states that Berkshire directors like Abel should hold a “significant investment in Berkshire shares relative to their resources.”

Inside Scoop is a regular Barron’s feature covering stock transactions by corporate executives and board members—so-called insiders—as well as large shareholders, politicians, and other prominent figures. Due to their insider status, these investors are required to disclose stock trades with the Securities and Exchange Commission or other regulatory groups."

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