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

Jack Rogers Women's 24543 Astor Rogers Brown/Black Tortoise Leather Astor Flats 6M 199b0ef
Jack Rogers Women's 24543 Astor Rogers Brown/Black Tortoise Leather Astor Flats 6M 199b0ef -

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.

Franco Sarto Women's Saletha Pointed Toe Flat Black Patent Size 7.5NEW J CREW Gemma Glitter ballet flats 6.5 Shoes Sand $148 #e0229Cole Haan Womens Louannasam Closed Toe Ballet Flats, Blue Snakeprint, Size 6.0One of a kind Handmade DEERSKIN Moccasins! I ordered direct from craftsmen , igi&co Babette Scamoscio/Nuv.Met Taupe ballets sale 77343 , BZ488 VITTORIA MENGONI shoes brown leather women moccasins , Van Eli Serene Flat Women’s 9 Tan Black Quilted Leather Nappa MINT , Ralph Lauren Collection Purple Label Shoes Size 6.5 Black Velvet Ballet Flats , Cole Haan Womens Harrietsam Closed Toe Ballet Flats, Navy, Size 6.0DORA DARK TAN LMSP70 Women's Shoes Size 7 Eur 4.5 Leather Ankle Strap MephistoMy Little Pony Rainbow Dash MLP LADIES Classic High Top Canvas ShoesDANSKO 41 BLACK TOOLED LEATHER CLOGS WOMEN USA SIZE 10.5 - 11 MBX139 JEANNOT shoes bronze leather women moccasins , BX378 2 STAR shoes gold textile women slip on , Ladies Padders Extra Wide Fitting Shoes - Darcy , ZARA NEW WOMAN SS18 RED FLAT SLINGBACK SHOES REF:7594/301SEVERINE WINE LMSP70 Women's Shoes Size 7 M Eur 4.5 Leather Zip Up Mephistoladies size 7.5 AA (narrow) brown leather COLE HAAN loafers shoes , JENNY by ARA Womens RUFFINA Black Calf Mules US 9.5H; (4049303402988)BX377 2 STAR shoes black white textile women slip on EUBX134 JEANNOT shoes bronze leather women moccasins , Bed Stu Darla Women's Black Driftwood Loafer 10M Z410532 , Versace 19.69 E08 VITELLO CUOIO FIOCCO CUOIO ballerina shoes Women's Camel US , LADIES "DB" EASY B SHOES PHOEBE BLACK , Versace 19.69 C01 CAMOSCIO GRIGIO Classic Shoes Women's Grey US , NEW Earth Kalso Invoke Negative Heel Technology w 3.7° incline full-grain 7.5/38Sesto Meucci Women's Neda Slip-On Loafer, Brown, Size 8.0 vBkLDANSKO 41 BROWN OILED LEATHER CLOGS WOMEN SIZE 10.5 - 11 MRara Avis Iris Apfel Suede Smoking Loafer Dodo Bird Sequin Tan Flats Size 7.5 ,

More Stories

Womens Patent Leather Chunky High Heel Ankle Boots Square Toe Buckle Shoes Hot , The North Face Women's 7.5 Black Primaloft Icepick Winter Grip Boots WaterproofBass Womens Low Duck Boots Shoes Ontario II 8M Navy Blue Green Snow Rain Shoeswomens less wedge heels fashion winter snow boots ankle booties shoes size 678 #WOMENS WHITE MOUNTAIN BRN LEATHER HIGH HEEL FASHION COWBOY WESTERN BOOTS 6.5 M , Nordstroms Brass Plum Black Sz 10 Biker 1 1/2" Block Heel Oiled Suede Booties , Nwob Pink color fringe midcalf zip back boots sz 7.5 suede skid proof soles flat , Teva Womens Delavina Ankle- Wool Ankle Bootie Shoes, Black, US 5.5boots booties CROCS cobbler ankle boot suede p 36 VERY GOOD CONDITIONSBT-012 Montana West Moccasins Embroidered Collection , XOXO Masterson Faux Leather Wide Calf Tall Boots, Women's - Size 7.5 M, Black , Catherine Malandrino Morcha Faux Fur Lined Over-the-Knee Boot - Taupe Size:7.5AQUA WONDER Taupe Suede Designer Boots Ankle Boots 7.0 MDan Post Boots Marlboro Vintage Western Cowboy Tan Suede Women 7 MFitFlop Shuv Leather Black Size US 6 Clogs Slip On ShoeMiu Miu by Prada Mid Tan Leather t strap loafers women Size / US 9.5Skechers Women's Rumbler Wave-Filigree-Laser-Cut Strap Mary Jane Wedge Pump B...Womens Oxford Shoes Square Toe Pull On Low Heels Block Heels Flat Casuals Shoes , Ecco Size Eur 39 US 8 8.5 Black Leather Loafers New Womens ShoesSarah Flint Nancy Women's FLATS Taupe , sz 7.5 / 37.5 Alexander McQueen Skull Black Velvet Ballerina Flat Slip on ShoesWomens PAUL GREEN black leather ballet flats shoes sz. 4 UK / 6.5 US NEW! , Skechers Women's Reggae Fest-Trail Dame-Scalloped Collar, Engineered...NEW MAX MARA PIOMBO Black Reptile Embossed Leather Flat Shoes 38 US 8JCrew $168 Kiki Ballet Flats in Houndstooth Jacquard Sz 8.5 Red & Blue F8505 AVLSkechers Sport 12214 Womens Skech Air 2.0 Pathways Fashion Sneaker , NIB Women's New Balance 630v5 FLX Ride Runner Running Shoe Gray/Pink Size 6 , Women's Propet Women's Scout Boot Boots , Chic Womens Boots Knee High Snakeskin Block Boots Patent Leather Shoes Boots SZ , Lucky Brand Women's Natania Bootie Mini Metallic Cow Hair Calf Leather ,

Jack Rogers Women's 24543 Astor Rogers Brown/Black Tortoise Leather Astor Flats 6M 199b0ef -