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

Aerosoles SZ/Color Women's Ultrabrite Ballet Flat, - Choose Ultrabrite SZ Ballet/Color 9cc691f
Aerosoles SZ/Color Women's Ultrabrite Ballet Flat, - Choose Ultrabrite SZ Ballet/Color 9cc691f -

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.

NEW ~ AGL Cap Toe Flat Pebble-Ginger 9.5US/39.5EU $330Skechers BOBS Women's Plush Lite-Engineered Knit Ballet Flat - Choose SZ/ColorTORY BURCH Natural Hibiscus Weston Metallic Linen Espadrille Flats Size 10 NewCole Haan Women's 2.Zerogrand Stitchlite OX Oxford - Choose SZ/ColorCrocs Women's Busyday Heathered Ballet Wedge Flat - Choose SZ/Color , Badgley Mischka Womens Trent Dress Sandal, Silver, 7.5 M US Sale NIB , ECCO Women's Shape Pointy Ballerina Ballet Flat - Choose SZ/ColorRockport Women's Total Motion Wedge Ballet Flat - Choose SZ/Color , Tory Burch Jolie Flat Thong Tumbled Leather / Royal Tan , Jack Rogers Women's Caroline Flat - Choose SZ/Color , Hush Puppies Women's Jennah Paradise Pump - Choose SZ/ColorFitFlop Women's Gogh Moc Open-Back Clog - Choose SZ/Color , Nine West Women's MAUDISA Suede Loafer Flat - Choose SZ/ColorTory Burch Colorblock Espadrille Flat REGAL BLUE/ LEAF GREEN 7 7.5 10 8 11 10.5Nine West Women's ANDSEY Metallic Loafer Flat, - Choose SZ/Color , Sam Edelman Women's Rockwell Ballet Flat - Choose SZ/ColorECCO Women's Touch 15 Ballerina 2.0 Ballet Flat, - Choose SZ/ColorMiu Miu BROWN CRYSTAL BEJEWELED BOW ROUND TOE FLATS Sz 37.5M Made In ItalyECCO Women's Bluma Slip-on - Choose SZ/Color , Womens Birkentstock Boston Oiled Leather Holiday Sandals Casual ClogsLadies Fly London Yuzu Open Toe Holiday Beach Cut Out Wedge Heel Shoes All SizesLadies Birkenstock Boston Soft Foot Bed Sandals Closed Toe Mules Clogs All SizesPRADA CALZATURE DONNA Black Patent Leather Animal Print Toe Ballet Flats 8.5 , Dr. Martens Women's 1461 RS Mallow Pink Oxford, - Choose SZ/ColorLucky Brand Women's Acaciah Flat - Choose SZ/ColorNew! FRYE Women's Natalie Short Black Engineer Boot! 7 MALDO Women's Dimitria Flat - Choose SZ/ColorMiu Miu BLACK CRYSTAL BEJEWELED ROUND TOE FLATS Sz 37.5M Made In Italy , Sperry Top-Sider Women's Rosefish Boat Shoe - Choose SZ/Color

More Stories

New Kensie Women's Black Suede Garrett (Garry) Short Ankle Boots 8.5 NWOB , womens black ankle boot Fashion Ankle with Faux Fur Zipper Back RoundedToe , SC35 Tiny2 Cold Weather Comfort Boots, Black, 10 US Used , Top Moda Black Faux Suede Knee High Womens Zip Boots LE-16 (Retail $88)Bruno Magli Black Leather High Heel Ankle Boots Womens Size 39 EURVictoria's Secret Women 11B Blue Suede Ankle Short Boots Stiletto Heel 4 1/8" , Indigo Rd. Womens Auburn Almond Toe Ankle Fashion Boots, Cafe, Size 9.5Spring Step Vanish Black Winter Snow Boots Womens Size / US 7.5-8 , Sugar Women's SGR-Waters Snow Boot, Black/red, 7 Medium USZIGI Soho Women's Kourtlan Ankle Booties Black Size 8 MEasy Spirit Womens Devitt Leather Closed Toe Oxfords , Dansko Tall Side Zipper Brown Riding Boots Shoes 39 8.5 8 M , Lucky Brand Women's Kaarina Fashion BootPrada Black Leather Slipper / Mule Size EUR. 36 US. 6 , New wolky Frosty sandal in black anthrosite color size 41 9.5/10 US175$ Charles Philip Yasmin Heron Loafers Size US6, UK3,5 EU36 New in BoxFlat Nine West Batoka Ballerina Flat Dark Natural/Dark Natural Suede , Nurture Sz. 8 Silver Metalic Women's Ballet Flats Shoes , New Tod's Fringe Logo Brown Maroon CITY GOMMINO LOAFERS LEATHER 38.5 / 8.5 ShoesNEW RED VALENTINO Black with Bow Mesh Flats Shoes Size 7 US 37 EU , ALEXANDER MCQUEEN Suede Skull Sequin Flats ITALY Sz 38 NEWLe Viozzi - Shoes-Shoes - Woman - Blue - 4375801G184115 , Reebok Size 8 Grey Gray Yellow Sneaker MeshRyka Women's Hydrosphere Cross Trainer, Bougainvilliea/Hyper Pink/Sconce Grey, , New! Sam Edelman Leather Platform Espadrille Flat 41/10 NAVY Handmade Spain $190 , Aerosoles Women's East Wing MuleWomen Outdoor Camping Walking Shoes Sport Hiking Wear-resistant Female Shoes , Nike Alvord 10 Womens Size 7 Running Shoes 512038-005Brinley Co Womens Faux Suede Cut out Pinhole Round Toe Boots NewNike Womens Lunarepic Low Flyknit Running Trainers 843765 500 Sneakers Shoes ,

Aerosoles SZ/Color Women's Ultrabrite Ballet Flat, - Choose Ultrabrite SZ Ballet/Color 9cc691f -