Warren Buffett’s Berkshire Hathaway invested $352 million in The New York Times during his final quarter as CEO, marking a stunning reversal after the legendary investor sold off his entire newspaper portfolio in 2020 and publicly declared most newspapers financially doomed.
Story Snapshot
- Berkshire Hathaway acquired 5.1 million shares of The New York Times valued at $352 million in Q4 2025, Buffett’s last quarter as CEO
- The investment contradicts Buffett’s 2020 exit from newspapers when he sold his entire media portfolio for $140 million, calling most papers unsustainable
- The Times’ stock jumped 4% after the February 2026 disclosure, reaching $76.99 per share
- Timing raises questions about whether this represents Buffett’s conviction or reflects new CEO Greg Abel’s influence during the leadership transition
- Berkshire has been a net seller for 12 consecutive quarters while sitting on over $350 billion in cash, making this rare stock purchase particularly significant
Buffett Returns to Media After Years of Skepticism
Berkshire Hathaway’s February 2026 SEC filing revealed the conglomerate purchased approximately 5.1 million shares of The New York Times Company during the fourth quarter of 2025. The position, valued at $352 million as of December 31, represents a remarkable shift from Buffett’s previous stance on the newspaper industry. Buffett had completely exited newspapers in 2020, selling his entire portfolio to Lee Enterprises for just $140 million after concluding that most publications lacked viable business models in the digital age.
The Timing Question That Nobody Can Answer
The investment occurred during Buffett’s final three months as CEO before Greg Abel officially took the helm on January 1, 2026. Sources indicate uncertainty about who actually directed the purchase—whether it was Buffett making a final conviction play, Abel asserting his investment philosophy, or investment manager Ted Weschler acting independently. This ambiguity highlights organizational questions during the leadership transition that Berkshire has yet to address publicly. The lack of clarity matters because it affects how shareholders should interpret future investment decisions under Abel’s leadership.
Why The Times Stands Apart From Failed Newspapers
Buffett identified just three newspapers in 2018 with “strong digital models capable of offsetting declines in print revenue”—The New York Times, Wall Street Journal, and Washington Post. The Times successfully built substantial digital subscription revenue and diversified beyond traditional advertising, executing the transformation that thousands of regional papers failed to achieve. This digital success explains why Buffett would consider the Times while maintaining that most newspapers remain fundamentally broken businesses. The investment validates that exceptional execution can create defensible media assets, even in a challenged sector.
Berkshire Sells Apple and Amazon While Buying The Times
The New York Times investment stands out against Berkshire’s broader portfolio moves during the same quarter. Berkshire reduced its Apple position by 4%, though it remains the largest holding at $62 billion, and divested 77% of its Amazon stake, dropping from $2.2 billion to just $525 million. Bank of America holdings fell 9% while Chevron and Chubb saw increases. These actions occurred during Berkshire’s 12th consecutive quarter as a net seller of stocks, with cash reserves exceeding $350 billion by year-end 2025, suggesting Buffett found few attractive opportunities in the market.
Market Endorsement Worth More Than The Investment
The Times’ share price increased 4% in after-hours trading following the disclosure, reaching $76.99. This market reaction demonstrates that Buffett’s endorsement carries substantial weight beyond the capital deployed. Institutional investors view his involvement as validation of the Times’ business model and digital transformation strategy. For Berkshire shareholders, the investment represents exposure to media sector risk during a period when Buffett has expressed difficulty finding quality businesses at reasonable valuations. Whether this proves prescient or problematic remains to be determined under Abel’s stewardship.
The investment challenges conventional wisdom that newspapers universally represent poor investments while simultaneously reinforcing that only exceptional digital performers merit institutional capital. Most regional and local newspapers receive no such validation, and this selective optimism offers them no lifeline. Conservative investors should note that Buffett’s move doesn’t signal broad media sector opportunity but rather identifies a rare exception in a fundamentally challenged industry where digital dominance and brand strength create defensible competitive positions.
Sources:
Berkshire Hathaway buys stake in New York Times – Sharecafe
