Warren Buffett’s grandnephew defeats Berkshire Hathaway

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Boston Omaha stocks, co-led by Alex Buffett Rozek, outperform Warren Buffett’s Berkshire Hathaway stocks this year.

Saul Loeb / AFP via Getty Images

Warren Buffett is second in terms of performance by someone from his own family.

Actions of

Boston Omaha

(ticker: BOMN), a publicly traded holding company co-run by Buffett’s great-nephew Alex Buffett Rozek, has been beating shares of Berkshire Hathaway (BRK.B) so far this year. Boston Omaha stock has jumped 21.7% year-to-date, topping the respective gains of 19.7% and 19.4% of

Berkshire Hathaway

class A and B shares of. Both generations of Buffett’s are ahead of the S&P 500 Index’s 18% rise so far in 2021.

Still, it’s certainly not an apples-to-apples comparison. Rozek, who is co-CEO and co-chair of Boston Omaha, does not have Buffett’s long history of outperforming. And Boston Omaha’s market value is just under $ 1 billion, while Berkshire Hathaway’s is over $ 625 billion.

But those who think the kid is on to something may want to take note of Boston Omaha’s decision last week. He sold 447,804 shares of

Dream Seeker Homes

(DFH) from September 13 to 15 for a total of $ 8.7 million, or $ 19.32 each on average. According to a form Boston Omaha filed with the Securities and Exchange Commission, it now owns 4.4 million shares of the homebuilder through subsidiaries.

Boston Omaha did not respond to a request for comment on the stock sale.

Boston Omaha, which remains the third largest investor in Dream Finders, was one of the early buyers. She bought $ 12 million worth of Dream Finders preferred units in May 2019. Dream Finders went public in January 2021 and the shares were priced at $ 13 each. Boston Omaha purchased 120,000 shares of Dream Finders at the price of the initial public offering; the remainder of its Dream Finders common stock was received from the conversion of preferred units.

Inside Scoop is a regular Barron column that covers the stock transactions of corporate executives and board members (called insiders), as well as major shareholders, politicians and other prominent figures. Due to their insider status, these investors are required to disclose stock transactions to the Securities and Exchange Commission or other regulatory bodies.

Write to Ed Lin at [email protected] and follow @BarronsEdLin.

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