September, 2018 (Volume: 35 / Issue: 9)
In Focus

Matt Bernson Verona Black/ Navy Leather/ Flat Bernson Loafer Verona Size 8 - NEW b28dd21
Matt Bernson Verona Black/ Navy Leather/ Flat Bernson Loafer Verona Size 8 - NEW b28dd21 -

Einhorn ... blasting frackers

Greenlight’s Einhorn slams oil frackers for burning cash

The hedge fund manager, who often unveils short-bets against companies at these events, cited Pioneer Natural Resources as a particular offender

BILLIONAIRE hedge fund manager David Einhorn, who often moves a stock simply by speaking its name, kicked off the year’s most prominent investment conference by laying out a case against oil frackers, arguing these companies drill “lots and lots of holes” and burn through plenty of cash.

Einhorn, who often unveils short-bets against companies at these events, cited Pioneer Natural Resources as a particular offender at the 20th annual Sohn Investment Conference. “We call it the motherfracker,” he said, prompting investors to kick the share price down as much as 5.3 per cent. The company should trade closer to $78 a share, he said, not the $166.50 the stock is trading at now.

“Pioneer is burning cash and its reserves are not growing,” said Einhorn, who runs $11 billion Greenlight Capital, adding “Pioneer ought to stop touting estimates based on stale pricing.” The company is losing 20 cents of present value for every dollar it invests.

Einhorn also mentioned EOG Resources, which he called the “father fracker,” Concho Resources, Whiting Petroleum and Continental Resources.

Last year Einhorn unveiled a short bet against athenahealth at a previous Sohn conference and was the first to underscore problems at Lehman Brothers months before the investment bank filed for bankruptcy.

Einhorn was one of the few investors at the conference who unveiled a short bet, as most other investors put forth ideas that investors can buy and hold.

Leon Cooperman and David Tepper talked about markets and sought to soothe investors fearful that the long-running equities bull market might be over.

Tepper, founder of Appaloosa Management, shocked markets a year ago by warning that investors should not be too long in the stock market. He said that investors should not be “too long bonds, not too short stocks” and warned that investors should be careful with commodity investments.

Investors at this conference, even the billionaires, are told to keep it short and talk no more than 15 minutes. Tepper who didn’t use all of his time joked that he would sell some of his unused minutes to Bill Ackman, who is known for speaking at a breakneck pace to race through dozens and dozen of slides.

Cooperman, who runs Omega Advisors and has long been saying the stock market would continue to climb, stuck by his bullish outlook, saying the stock market can still end higher this year. “If there is a bubble out there, it is not in the stock market,” Cooperman said, adding it may be in the fixed income market.

He pitched a handful of US-based companies including Google, Dow Chemical, Priceline Group and drugmaker Actavis.
Picking up on the pharmaceutical industry theme, Larry Robbins, who runs Glenview Capital Management, touted AbbVie, saying the stock price could double. The company’s price is relatively cheap and management is disciplined, Robbins said.

Even though AbbVie called off a planned $55 billion takeover of Shire late last year, industry analysts are still holding out forecasts that the breakneck pace of mergers and acquisitions in the pharmaceutical industry will continue. The company could be taken over or it could be the one taking over someone else, Robbins said.

Ackman, founder and chief executive of Pershing Square Capital Management LP, talked about his most recent addition to the portfolio: Canadian pharmaceutical company Valeant Pharmaceuticals International Inc VRX.TO, which he called “massively undervalued.” He said companies that buy up others at a steady pace are often misunderstood and said Valeant, which announced plans to buy Salix earlier this year, is an early stage Berkshire Hathaway, referring to Warren Buffett’s company.

Keith Meister, a former Carl Icahn lieutenant who now runs $8 billion Corvex Management, focused on fast food restaurant chain Yum Brands, saying his firm is one of the five largest investors and that the company is Corvex’s second-biggest investment ever. Daniel Loeb’s Third Point said it had taken a significant stake in Yum.

Unuetzer 7127 Women Slipper black - suede leather - handmade in Venice , Dansko Professional Navy Blue Crinkle Patent Leather - US 8 - was $135J. Crew Roxie Ankle-Cuff Tassel Pumps, Size 6.5 , Women's Aquatalia Dark Brown Suede Loafers Size 7 M , Stuart Weitzman Women's Walk My Way Espadrille - Noir Multi - Sz 7.5 - $355 , Dansko Professional Clog Black Patent Leather - size US 12 - was $125 , TIBI BURNT CORAL SATIN GLADIATOR FLAT SANDALS BNIB SIZE 38 USMercedes Castillo Erin Loafer Flat Wine/Red Nappa Leather Sz 8 NIB , Kenneth Cole Gentle Souls Halden Hanna Womens Black Leather White Slip On Sz 8.5 , Size 10 (/ ) Womens Taupe Leather Point Toe Ballet Flats MADE IN SPAIN , JEFFREY CAMPBELL PERPETUAL WOMENS STUDDED APPLIQUÉ DENIM MULE 8M MSRP $165 , Andrew Charles 7647 SOFTY SAND Loafers Women's Beige USNew Maison Martin Margiela H&M 37 / US 7 silver glitter ballet flats shoesNew Munro Olympia Black Women Slip On Sneaker Shoes Leather Mesh Made In USA , Cole Haan Bowie Slip On Sneakers White Black Women Sz 9.5 B 4636 , PRADA 1D2476 Black Designer Shoes Loafers Comfort Ballet Flats 7 NICE , Dansko Women's Chrissy Kid Suede Plum Mary JanesGIORGIO ARMANI Silver Round Toe Synthetic Leather Flats XGDM67 $695 NEW10 CROSBY DEREK LAM SIZE 6 BLACK SNAKE LEATHER FLATS NWOTDansko Professional XP Black Cabrio Leather - size US 12 - was $140Gianna Bini women Albba Leather Flats Grey Ice Size 7.5M NIBOriginal SAS Easier Antique Wine 0128-153 M Medium Women , Unisex Adults Dr Martens 1461 59 Smooth Leather Black Work Flat Shoes , V Italia 1072 Alps Women's Sz 36 Black Distressed Leather Tall Shearling Boots , Unuetzer 7230 Women Ballerinas blue - suede leather handmade in Venice , Unuetzer 7246 Women Ballerinas blue - suede leather handmade in VeniceSalvatore Ferragamo Ladies Black Leather 60s Retro Mary Jane Ballet Shoes , DZ610 MBT shoes brown leather women ballet flats 6 - 6.5 ()NWOB JCREW $158 Satin slides with floral embellishments Sz9 Tuscan Olive G8895 ,

More Stories

women elastic buckled stud ankle boots flat classic Chelsea work everyday bootsQupid Black/White Leopard Ankle Boots size 7.5Billa Bong Take A Walk Bootie, Brown, Womens US Size 8 , Arturo Chiang Black Knee-High Boots size 6.5 , NINE WEST BOOTS TALL SOLID BLACK SUEDE LEATHER WRAP AROUND UNITY SIZE 6.5 MID CA , Friis Company Kim Black Leather Star Booties Studded Ankle Boots Womens 7.51520 Korks Decola Brown Leather Block Heel Ankle Boots Women Size 8 MCROFT & BARROW Juliana Professional Nurse Clogs Shoes Size 7,5 MNew Nine West Women Black Side Zip Leather Boots Size 5 , ROCK & CANDY Womens Spraypaint-T Closed Toe Ankle Fashion Boots TAUFX Size 8.5 , XOXO Womens Karol Closed Toe Ankle Fashion Boots, Black, Size 10.0 pCpENew Catherine Malandrino Women's Black Suede Wedge Ankle Boots Booties Size 7Gorgeous 2.75" White Pointy Victorian Granny Witch Gothic Cutout Pumps 6-12Blondo Women's Black Textured Leather Flat Knee High Tall Buckle Zip Boots 6M , Betsey Johnson Womens Molly Pointed Toe Ankle Chelsea Boots, Black, Size 8.0Eddie Bauer Duck Boots 9M Women Brown Thinsulate No insolesElie Tahari Ortley Studded Ankle Boots, Black, 7.5Ladies Club Party Shoes Faux Suede High Heels Zip Over Knee Boots US Size b072A7 Auth TORY BURCH Jelly Bow Reva Rain Waterproof Ballet Flat Shoes Size 7.5 MNIB CHAPS $60 Brown Rain Muck Rubber Boot Women's Sz 7B FAST SHIP!Tory Burch Navy blue Suede With Snakeskin Toe Pacey Cap-Toe Ballerina Flats.9M , ECCO Women's Chase Tie Oxford - Choose SZ/Color , Mally 5207b Gray Silver Soft Leather Comfortable Ballet Flats 40 / US 10 , Propet Ladybug - Burgundy - WomensFendi Gray Fox Fur Clogs Funky Rave 90s Sz 7.5 Avant Garde Hipster , Reebok Womens Bd4657 WhisperGrey/LilacAsh/White Running Shoes Size 10 (420416)Alegria Womens Flair, Pewter Florette, Mary Jane, Wedge Pump, Size 10, FLA-553NIB New Balance Fresh Foam Vongo Women's Running Shoes Black-Lava- Med & Wide D , Nike Wmns Free TR 7 Premium VII Black White Women Cross Training Shoe 924592-001 , Women's Charlotte Olympia 39.5 flats shoes Flats ,

Matt Bernson Verona Black/ Navy Leather/ Flat Bernson Loafer Verona Size 8 - NEW b28dd21 -