Warren Buffett Just Sent An Urgent Message (GET READY)

Coin Crunch
7 followers
Aug 17, 2025
Warren Buffett’s massive $344 billion cash position isn’t just a number—it’s a signal. For 11 straight quarters, he’s sold more than he’s bought, even trimming positions in favorites like Apple and Bank of America, and pausing stock buybacks entirely. That kind of caution from someone who thrives on big, value-driven plays says more than words ever could. I break down what this really means for investors like us, and how to prepare for the opportunities that come when fear takes over.
Warren Buffett is sitting on $344 billion in cash and growing. And even crazier,
he's not buying back any stock. He has no big bets for 11 straight quarters. This looks like a setup
for a huge move. And let me show you exactly what most investors are missing here. Now,
some people think that Warren Buffett is quietly trying to warn us. We are believers of that. And
his recent reactions have many investors paying very, very close attention. In the second quarter
of 2025, Buffett's company Berkshire Hathaway hit a new record. It now holds over $344 billion in
cash, which is more than twice what it had just one year ago. But guys, it's not just about the
amount. It's the fact that he keeps adding to it. For 11 quarters in a row, Buffett has sold more
stocks than he has bought. He has even reduced his shares in big companies like Apple and Bank
of America, companies that he praises as great businesses. And for the last three quarters,
he hasn't bought back any of his own stock, something that he did consistently for five
years prior. That tells us that he thinks even his own stock is overvalued. And this isn't just
him being careful. It's a message, a clue that the likes of you and I would be foolish to ignore.
Some people think that he's preparing for something big, really big, like a huge crash.
I don't necessarily agree with that. What I will say though is that the guy has to make big bets
on big companies to move the needle. He has said this many times. And the reason that affects you
is what makes up the S&P 500 and NASDAQ, really big companies. So if he sees no value there,
what does that mean about the future returns? Now, he's never come out and he never will come
out and say a crash is coming, but his actions are what are making people like us wonder.
And this isn't the first time Buffett has done this. In 1999, just before the dot-com bubble
burst, Berkshire had a cash reserve of around 15 and a half billion. Now it's 5% of today,
but Berkshire Hathaway was a lot smaller business back then. It was worth around $100 billion back
then versus over a trillion today. Buffett stayed away from all the risky tech stocks because he
didn't understand their future. And when the market crashed, he was mostly untouched and
had money to buy stocks at sale prices. And again, in early 2008, right before the great
financial crisis got worse, Buffett held about 44.3 billion in cash, about three times more than
he had just nine years earlier. And that allowed him to jump on big investment opportunities when
prices dropped, like his well-known buy-in to Goldman Sachs. But now 17 years later,
the pattern is starting to resurface. Of course, he's highly intelligent. Much of his money sits
on the sidelines, earning interest through short-term treasury bills that pay between
four and four and a half percent. That's free, easy money, 12 to $15 billion per year.
But when Buffett steps back like this, it often means that he's seeing risk that others do not.
History shows when Buffett holds back, an opportunity will be coming. The question is
when, and no one knows. But guys, look at this chart of his cash position. Dipped after the
crash because he bought stuff. Built, dipped after the crash because he bought stuff. And it's just
been building and building. Look at this. Coat, back up, buying more. Guys, this is not a coincidence.
He's a smart, long-term investor. The guy's freaking 94 years old and he still wonders
about Berkshire Hathaway and their investments for decades to come. In his latest letter to
shareholders, Buffett said he doesn't see anything exciting enough to buy right now.
What does that really mean? He's waiting for better deals. He's got to make big positions
because think about it. With $345 billion, he can't go buy a $1 billion company. Why?
Let's say that thing doubled every five years for the next 20 years. That $1 billion becomes $16
billion. Guys, he makes that in one year on interest on that $344 billion. It's not going
to move the needle because 20 years from now, what's Berkshire going to hold in cash? Triple,
quadruple, 10 times more than this? Who knows? But again, he's done this many times before.
As we said earlier, back in 99, everyone was going crazy for tech stocks. Buffett didn't join
the party. He said no thanks and stayed in cash. What did people say about him? He's a dinosaur.
He doesn't get it. The economy has changed. The world has changed. I'm hearing the same
things about him today. And a short time later, the dot-com bubble popped. Prices crashed and
Buffett came out ahead. Guys, every decade since he started, he has outperformed the market,
some more than others. And as time goes on and the bigger and bigger he gets,
his outperformance has shrank. But don't forget, he still outperforms. He has outperformed the
even sitting on this huge cash pile for the last 10 years. Same thing in 07 and 08. The market
looked shaky. He held onto his cash. Financial crisis hit. While others panicked, Buffett was
ready. He used all that cash to scoop up strong companies at cheap prices. He was basically looking
at the stock market like it was Amazon Prime Day. Everything was on sale. Now here we are in 2025.
Stocks are even more expensive than 07 and 08, even more expensive than 1999 and 2000,
even more expensive than the late 60s when he actually shut down his partnership,
saying there are no good investments to buy out there. We have to go back to the Great Depression
right before stocks fell 86% to find a time when stocks were this overvalued.
If you don't think that matters today, all you're saying is it's different this time. It's the four
most dangerous words in the investing world. And one of Buffett's favorite tools, the stock market
GDP ratio, shows these prices and what we're talking about here. So what's he going to do?
He's going to wait and he's going to watch. And that says a lot about a guy who's about
ready to turn 95 years old. Now, this is going to sound a little crazy at first, but hang with me.
When Buffett starts buying stock hand over fist, he does this when everyone else is scared.
Most people, especially if you're new watching this channel, will think,
that doesn't make any sense. That's the way he thinks. I show this chart a lot on our channel.
And I sit there and say, hypothetically, if I said to you, you could only invest
seven times in history, when would you invest? Well, guess what? You'd probably invest here,
here, here, here, here, here, here, and here. I don't know about seven times.
Guys, at all of these points, the story was scary. People were scared. And those are the times you
want to buy. Guys, look at COVID. By the time the world shut down when we had 5,000 cases of COVID,
the market fell almost 40% in a matter of four weeks. We didn't know what the world was going
to look like. We didn't know if millions and millions of people, hundreds of millions of
people, if billions of people would die. We didn't know if you were going to have a job.
The GDP fell 34%, and the market fell 40% very quickly. That's the time you need to be waiting
for. That's the time you need to be cheering for. Think about it this way. When the headlines are
screaming market crash, when your buddy at work says, I'm just going to wait it out until it
and when your gut is telling you to run, that's oftentimes when the best deals show up.
Sound counterintuitive? Again, let's go further. Let's say your favorite shoes,
your video game, whatever it is that you love to buy, go on sale for 20% off. Are you saying,
oh, forget it. I don't want things cheaper. No, you're pumped. You know what it's worth.
Now you're getting it cheaper. But for some reason, when it comes to investments,
we think the exact opposite, but we shouldn't. The markets work the exact same way.
When prices drop, smart, but more importantly, emotionally calm investors don't panic.
They lean in. They realize that these will not last forever. Because guess what? If this does
last forever and stocks go to zero, you should have been buying anyhow, because your money's
going to be worth nothing. You've got to actually be able to understand what a stock is worth,
though. That's the difference between gambling and investing. Buffett realizes that he can value
companies when everyone else is panicking, because that's when the best and biggest
opportunities come. He has said it a million times. Be fearful when others are greedy and
greedy when others are fearful. I even hate saying that statement because it's used by
every Bitcoiner and other person who's in the hype on every single thing. It drives me nuts.
But if applied properly and not to your useless ---- coins, it is a very powerful statement to
understand. Buffett is not waiting for the perfect time. He's waiting for everyone else
to have big fear and where prices fall below value. That's when stocks are right for him,
and he pounces. And guess what? If the stock goes lower, he buys more as long as the thesis
is still the same. The best way for an investor to get ahead is not to necessarily understand the
numbers. I used to think that. And then over time, I realized, man, I meet a lot of people who
understand the numbers. The numbers aren't the hard part. Then I realized what it really took to
be a great investor. It takes a proper way of thinking. It takes a good emotional stomach to
be able to say, the world's falling apart and I'm okay with that, because the world will get better.
This is why I created this principle-driven investing idea. These five tenants that I live
by, this is a way of thinking about all money, all investing. It has nothing to do with numbers.
It's purely about how to think about investments. So if you're interested in getting those five
tenants sent to your email in a matter of one minute, click the link below. It is absolutely
free. It's a great way of thinking, and I want you to do me a favor when you have it.
Pull it up every so often. Pull it up when you're feeling fearful and understand these tenants. I
think about them every single day. Now, remember though, when you're watching Buffett, he's not
like you. He has to wait for big opportunities. He cannot buy those small companies, so you
shouldn't behave like him. You have to keep being in the market, and you have to dollar cost
average all along the way, and sometimes you're going to overpay, and sometimes you're going to
underpay. But guess what? Overall, you're going to pay the market price, and you're going to do very,
very well. Guys, these crashes and corrections are the best opportunities for you. Add more money
when the market is crazy, but all along the way, just keep dollar cost averaging, because your goal
is to live a great retirement. And that whole adage that's abused beyond belief,
it's more important about time in the market than timing the market. That is true, until you have
absurd money where it doesn't matter. But like most people, that's hard to come by.
Guys, I cannot preach this enough. I even dollar cost average into low cost ETFs,
but I also own 28 companies, and I like owning businesses, but you got to be able to understand
that when you buy a stock, you're buying a piece of a business. And I want you to learn how to buy
those businesses, but I really want you to remember that sticking with dollar cost averaging is your
way to retirement and your way to financial freedom. But along the way, if you want to add
a little bit of money to individual companies, you got to have the stomach, and you got to have
the knowledge. And it's super important to get this knowledge and skill now before the market turns.
So in this next video, we're going to show you how we think and how we value stocks similar to
so that you're prepared to act when others panic. The video is linked right on your screen,
so don't miss it. This is how you get ready for your moment because great investing takes patience.
It's not about quick money. It's not about quick flips. It's about long-term growth
through thick and thin, and that starts here. Thank you for your time.
