Sad to say, Warren Buffett will not be around forever. #-ad_banner-#There is no question that what he has done at Berkshire Hathaway (NYSE: BRK-B) is nothing short of miraculous. Trying to replicate Buffett’s success is nearly impossible. However, if there is one thing managers can do, it is learn from Buffett. There is a publicly traded company with a similar business model as Berkshire. It buys great businesses for less than fair value and then develops them into rewarding investments. Even better, this company is cheaper than Berkshire. Leucadia National Corp. (NYSE: LUK) has been called the “mini” or… Read More
Sad to say, Warren Buffett will not be around forever. #-ad_banner-#There is no question that what he has done at Berkshire Hathaway (NYSE: BRK-B) is nothing short of miraculous. Trying to replicate Buffett’s success is nearly impossible. However, if there is one thing managers can do, it is learn from Buffett. There is a publicly traded company with a similar business model as Berkshire. It buys great businesses for less than fair value and then develops them into rewarding investments. Even better, this company is cheaper than Berkshire. Leucadia National Corp. (NYSE: LUK) has been called the “mini” or “baby” Berkshire Hathaway for a number of years. A diversified holding company like Berkshire, Leucadia is only about a thirtieth its size in terms of market cap. Leucadia’s largest business is investment bank Jefferies Group, which it acquired in 2012. But it also owns the U.S.’s fourth-largest beef processor, National Beef; a 50% interest in a venture with Berkshire for real estate lending, called Berkadia; the 15th-largest U.S. auto dealer, Garcadia; and various other businesses, including restaurants, telecom and real estate. Leucadia’s similarities to Berkshire are downright scary. While Berkshire relies heavily on its insurance operations like GEICO and Gen… Read More