Berkshire Hathaway Stock Is Off to Its Worst Start Since 2020. Is This a Huge Buying Opportunity?

Shares of Berkshire Hathaway (NYSE: BRKA)(NYSE: BRKB) are down around 6% thus far in 2026, which is an unusually poor start. The stock has normally been much more stable than this. The last time it was off to a worse start in the first three months of the year was in 2020, in the early stages of the COVID pandemic, when it was down by more than 19%.

Not only are concerns about the broader economy impacting the stock this year, but Warren Buffett is no longer CEO of the iconic company. Since the start of 2026, Greg Abel has been running the business. And while he follows the same investing principles and strategy as Buffett did, investors may nonetheless not feel as excited about the stock with a different CEO at the helm; Abel may still need to prove himself.

Could now be a golden opportunity to buy shares of Berkshire Hathaway?

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Berkshire faces a big challenge in 2026

The problem with Berkshire's stock today is that it still faces the nagging question of how different the business will be under Abel. While the principles and strategy may be the same, there may still be slight changes in how the company is managed, and its top holdings may also change. This year will be a critical one for the company to prove to investors that it's still on the same trajectory.

Buffett, however, is unconcerned and said in a recent interview that, "I'd rather have Greg handling my money than any of the top investment advisors or any of the top CEOs in the United States." Abel has big shoes to fill, and while he is a capable successor, investors may still be eagerly awaiting upcoming quarterly filings this year to confirm that the business is indeed on the same strong trajectory as it was under Buffett.

Currently, Berkshire still has a market cap of just over $1 trillion and remains one of the most valuable companies in the world. However, with its decline in value to start the year, it is down about 12% from its 52-week high of $542.07. It's trading at a price-to-earnings multiple of around 15, which may feel a bit high for the financial stock, but it's still lower than the S&P 500 average of 24.

The stock still looks like a great long-term buy

Berkshire Hathaway stock is down this year, but it remains a good and stable investment to hang on to for the long term. While it doesn't pay a dividend, it has generated solid returns for investors nonetheless. In five years, the stock has risen by 84%, beating the S&P 500, which is up around 60% over that stretch.

The stock's slow start this year could make it an attractive option to buy on the dip. With quality management and a continued focus on investing in stable and safe businesses, it can be an excellent pillar to build your portfolio around.

David Jagielski, CPA has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Berkshire Hathaway. The Motley Fool has a disclosure policy.