Warren Buffett is stepping down as chairman of Berkshire Hathaway, to be replaced by his son Howard, after holding the position since 1970. Buffett will transition into a chairman emeritus role. Howard has served on the Berkshire board for a long time. Buffett said in his shareholder letter that serving as chairman has been the privilege of a lifetime and that he has never taken shareholders' trust for granted, and he expressed confidence in Greg Abel, who took over the chief executive officer job, saying his expectations for Abel were sky high from the start and that Abel has exceeded them. Analysts reacting to the announcement said key man risk at Berkshire may already have played out with the Abel transition, and that the stock's multiple could contract a bit over the next couple of years.
Berkshire Hathaway IncBuffett steps down as chairman with son Howard succeeding, a leadership change analysts say could contract the stock's multiple over the next couple of years.
