Motley Fool Sees Nvidia as Berkshire’s Next AI Bet After 54 Million-Share Alphabet Build
Updated
Updated · The Motley Fool · Jul 6
Motley Fool Sees Nvidia as Berkshire’s Next AI Bet After 54 Million-Share Alphabet Build
3 articles · Updated · The Motley Fool · Jul 6
Summary
Berkshire’s first full quarter under Greg Abel saw it more than triple its Alphabet stake to nearly 54 million shares while exiting Amazon, a shift Motley Fool says could foreshadow a future Nvidia purchase.
Nvidia fits that thesis because its CUDA software moat and dominant GPU position are expanding into a broader AI infrastructure ecosystem, including networking, custom-chip links and data-center investments.
A $1 billion Nokia partnership and backing for companies such as CoreWeave, Coherent and Lumentum show Nvidia is pushing beyond a single chip business toward the center of AI build-outs.
More than 1,000% stock gains, strong free cash flow and a richer-but-cooling forward valuation support the argument that Nvidia still matches Berkshire’s preference for durable long-term compounders.
In an age of rapid AI innovation, can any tech giant truly build the 'durable moat' that Berkshire Hathaway demands?
After betting billions on Google, why might Berkshire's new CEO be hesitant to invest in AI-giant Nvidia?
Berkshire’s $10 Billion Alphabet Investment: Greg Abel Ushers in a New Era of AI-Driven Growth
Overview
Under Greg Abel’s leadership as CEO for just under six months, Berkshire Hathaway is making a major strategic shift away from its traditionally conservative approach. The company is moving beyond simply accumulating large cash reserves, which reached $397.4 billion by March 2026, and is now actively redeploying capital into high-growth technology sectors. This evolution comes as investors questioned the old conservative strategy and speculated on how Abel would reshape the portfolio. Berkshire’s new direction signals a proactive investment stance, aiming to position the company for long-term growth in the rapidly changing tech landscape.