Speaking of the pros in the investment world, Warren Buffett is definitely a name on the list. His Berkshire Hathaway company not only manages multiple subsidiaries but also has a stock portfolio worth over $300 billion. Although Buffett's investment strategy has always appeared relatively conservative, his stock buyback plan since 2018 has become a highlight with an astonishing investment of $7.9 billion.

Back in 1965, Buffett became the CEO of Berkshire, and from that time he began to build this massive investment empire, purchasing various stocks, the most famous of which may be Apple. From 2016 to 2023, his total investment in Apple reached $38 billion, and by early 2024, the value of this investment had soared to over $170 billion. Another secret investment is even more intriguing; since 2018, Buffett has invested nearly $7.8 billion into a certain stock project, an amount that even exceeds his investment in Apple, yet people cannot find this project in Berkshire's investment portfolio.

For Buffett, simple investment strategies yield incredible returns. He tends to choose companies with stable growth, reliable profits, and excellent management teams. He is particularly fond of companies that adopt shareholder-friendly policies, such as stock buybacks and dividends, as these can significantly accelerate the compounding of his investment returns.

Berkshire's stock market value has now surpassed the trillion mark. Buffett and his team are constantly looking for new investment opportunities globally, but there are still relatively few projects that meet their standards. Therefore, Buffett has chosen to prioritize share buybacks over dividends when it comes to wholesale cash. Through buybacks, the total number of Berkshire shares in the market decreases, leading to a natural increase in stock prices, and shareholders' proportional stake in the company also increases accordingly.

However, Buffett's buyback plan has been paused over the past year. This may be related to Berkshire's current stock valuation, which has a price-to-sales ratio exceeding the historical average by 31%, and Buffett may feel that it is too early to enter the market now.

Despite the pause, Berkshire still holds $344 billion in cash and cash equivalents, ready to resume its buyback plan at any time. Furthermore, as Buffett prepares to step down at the end of the year and hand the company over to his successor Greg Abel, this may also provide some decision-making space for the new leader to determine how to handle this massive cash reserve.

In any case, companies willing to return money to shareholders always attract investors' favor and are often given a higher market valuation because of this. Therefore, Berkshire's buyback plan may come back, so let's wait and see.