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

Skechers Performance Womens GO SZ/Color. Flex Performance Max Loafer- Select 9799 SZ/Color. 44e2f50
Skechers Performance Womens GO SZ/Color. Flex Performance Max Loafer- Select 9799 SZ/Color. 44e2f50 -

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.

PUMA Women's Suede Bow Wn Sneaker - Choose SZ/Color , Skechers Women's Skech Air 2.0 Pathways Fashion Sneaker - Choose SZ/ColorSkechers BOBS Womens Squad-Photo Frame Wide Sneaker- Select SZ/Color. , New Balance Women's WL555 Only Casual Running Shoe - Choose SZ/Color , ASICS Womens Gel-Contend 4 Running Shoe - Choose SZ/ColorNew Balance Women's 620v2 Trail Running Shoe - Choose SZ/ColorSkechers Be Light On The Groove Slip Sneakers- Select SZ/Color.Teva Women's W Freewheel Washed Canvas Shoe - Choose SZ/ColorSkechers Women's Hi-Lite-Metallic Patent Sneaker - Choose SZ/ColorSkechers Women's Hi-Lite-Suede Satin Sneaker - Choose SZ/ColorSkechers Sport Women's Studio Burst Virtual Reality Fashion SneakerPUMA Women's Dare Trainer WNS Sheen Sneaker, - Choose SZ/Color , RYKA Women's Dash 3 Walking Shoe - Choose SZ/Color , SKECHERS Skechers Womens Burst TR Close Knit Trainer- Select SZ/Color. , Skechers Sport Womens Synergy 2.0-Headliner Fashion Sneaker- Select SZ/Color. , Skechers Sport Women's Breathe Easy Lovestory Mary Jane Flat - Choose SZ/Color , PUMA Women's Rebel Mid WNS En Pointe Sneaker - Choose SZ/Color , New Balance Women's WT510RS3 Trail Running Shoes - Choose SZ/ColorPUMA Women's Enzo Strap Knit Sneaker - Choose SZ/Color , New Balance Women's 420v4 Cushioning Running Shoe - Choose SZ/Color , Saucony Women's Kineta Relay Running ShoeNew Balance Women's 574 Sport V1 Sneaker - Choose SZ/ColorSkechers Women's Go Walk Lite - Shanti Loafer Flat, - Choose SZ/Color , Skechers Women's Go Run 600-Divert Sneaker , Under Armour Women's Links Vented 4" Shorty - Choose SZ/ColorNew Balance WX608V4 Women's Training - Choose SZ/ColorDC Women's Danni Tx Se Skate Shoe - Choose SZ/Color , Skechers Performance Women's Go Walk 4 Achiever Walking Shoe , Skechers Womens DLites Plaza W Snow Boot- Select SZ/Color.

More Stories

VTG WOMENS NOCONA SNIP TOE COWBOY LEATHER LIGHT BROWN BOOTS SIZE 5 CWOMEN'S BLACK KNEE HIGH BOOTS-SIZE: 7B , Brown 3" Wedge Heel Round Toe Knee Boot Side Buckle Size 8.5 , Melrose and Market Fallon Black Leather Double Zipper Ankle Bootie. Size 7.5SC35 Hadleyy Flat Over The Knee Boots, NavyLauren Ralph Lauren Tula Knee-High Wedge Boots 462, Black, 8 US / 39 EUVintage acme Womens Western cowboy boots Size 5.5 D Leather USA Made , Womens Black 1.5" Low Wedge Heel Round Toe Over The Knee Sexy Boot Size 6 , New! Chaps Womens ~Gen~ Buckle Tall Riding Boots-Black 8 BWOMEN'S REPORT *JAMIE BROWN BOOTS* COLOR BROWN SIZE 6.5 M , New Charles By Charles David Patent Trim 5” Heel Boots Easy Clean Size 7.5 , Naot Dorith in Black, Sea Pearl, Silver Threads, White Snake , Munro American Women's Jerrie Slip On, Black Crinkle Patent - Size 11.5MDANSKO WOMEN'S ADDY SLIP-ON FLATS BLACK NAPPA LEATHER 39 9 MEDIUM $145 , AUTHENTIC Manolo Blahnik Hangisi 39.5 Crystal-Buckle Flat Satin Mule $895 , TORY BURCH WOMEN'S LEATHER BALLET FLATS BALLERINAS NEW MINNIE BROWN 80ANine West Women's Batoka Metallic Ballet Flat - Choose SZ/ColorAnne Klein 25024861 Womens Mady Fabric Loafer Flat- Choose SZ/Color. , Merrell PLAZA BANDEAU Tan Suede Leather Athletic Mary Jane Womens 7.5New Burberry Women Burgundy Jewelry Patent Leather Silk Flats shoes ballet 9 39VINCE Pierce 2 BLACK Perforated Leather Pointy Sneaker Slip On 8.5 , ADIDAS Originals Extaball Womens Shoes Night Indigo/Light Flash Size 8 , SKECHERS YOU-INSPIRE Women's Walking Shoes 14950/BBK Sz6-9 Fast ship LAdidas Originals Women Samoa BB8613 Grey Linen Gum Shoes Sz 10 NewSpring Women's Vogue Wedge Heels Korean Loafers Youth Girls New Pointy Toe Shoes , Women Brushed Winter Warm Fur Boots Thicken Pull On Buckle Mid Calf Hidden Heels , Marc Fisher Womens Civil Closed Toe Knee High Rainboots, Black Sy, Size 6.0 BS8E , Caterpillar Women's Ellie Steel Toe / Dark Beige Work Boot , Skechers Work Womens Size 9.5 Black Squad SLip Resistant Work Shoes F2-118 , Nike Air Max 1 Ultra Moire 704995-100 White Running Casual Shoes Medium Women

Skechers Performance Womens GO SZ/Color. Flex Performance Max Loafer- Select 9799 SZ/Color. 44e2f50 -

Athletic Shoes