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

CONVERSE CONVERSE Shoes 353466 localjoes-27454 Shoes BluexMulticolor 5 03de8bf
CONVERSE CONVERSE Shoes 353466 localjoes-27454 Shoes BluexMulticolor 5 03de8bf -

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.

Spring Step Women's Lilou Wedge SneakerNike Womens Air Huarache Run Wolf Grey/Light Retro Size 6 Wmns 634835 008 New , WOMEN'S SHOES SNEAKERS ADIDAS ORIGINALS SUPERSTAR 80S W [BY9075]New Nike Women Free RN Motion Flyknit Athletic Shoes White/Black 834585-100 (10) , NIKE PRESTO GS WOMEN NEW W/O BOX!!!!NWOB Barbour Highlands Low Athletic Sneakers Women's Size 9 , NEW! Nike Air Huarache Run Ultra Mesh Women's Triple White / Black size 9 , Womens Nike DUNK SKY HI ESSENTIAL Shoes -Black -644877 011 -Sz 9.5 -New , NEW Nike Air Zoom Ultra React HC Womens Tennis Shoes 6.5 White/Platinum MSRP$160Nike Women's Shoe Free RN Running Shoes 831509-101 Women Size 6 Only AvailableWomen's Under Armour 1285796077 Charged Push Training Shoes Rhino GreyNike Air Vapormax GS Reflective Midnight Fog Kids Women Running Shoes 917963-007 , Wmns Nike Air Presto Classic Women Running Shoes Sneakers Slip-On Pick 1 , CONVERSE CHUCK TAYLOR ALL STAR SHORELINE SLIP WOMEN'S SLIP-ON COMFY SNEAKERS , Adidas NEO Cloudfoam Advantage [DA9524] Women Casual Shoes White/Vapor GreyWmns Nike Air Max 1 Pinnacle Black Sail Leather Sneakers 839608-005 SIZE 8.5 , Adidas Women's Terrex Agravic Speed BB1960 in Black Sz 6-9 New , Women's Nike Air Max 95 Premium EM Running Shoes -Size 11 -554714 035 , Mizuno Wave Lightning Z3 Women's Volleyball Shoe NEW Several Colors & Sizes , Puma Muse Echo Women's Size 9 Fashion Sneakers Shoes WhiteW NIKE AIR HUARACHE RUN ULTRA PRM SZ: WMNS 10 (859511 001)NIKE FREE TR 6 PRINT WOMEN'S TRAINING SHOE,BLK/WH/GR SIZE 5, 6, & 9, 833424 001(683818-302) WOMEN'S NIKE HUARACHE RUN PRM CARGO KHAKIYRU LALA Heart Pink Glitter Platform Sneaker Shoe's Rave, Punk-rock Glam Rock , Women's Nike Air Max 2015 Black White Clearwater Running Shoes 698903-004 sz 7 , NIKE AIR MAX 90 LEATHER GS WOMEN SIZE 8.5(7Y) NEW Without BOX!!! , Women's Adidas PUREBOOST X ALL TERRAIN Sneaker-BY2693 , Nike Air Max Axis Women's Running Shoes AA2168-006 , NIKE ROSHE RUN PRINT FLASH LIME/WHITE WOMEN"S RUNNING SHOES 100%AUTHENTIC ,

More Stories

Womens Minnetonka Moccasin 3-Layer Fringed Suede Leather Boots, 1632 Size 8 , AJ Valenci Boots Womens Size 8.5 M Red ankle boots genuine leather double zipperNew Ladies Women Boots High Heel Shoes Winter Mid Calf Wedge shoes All SizeEnzo Angiolini Knee High Boot Suede size 7 Dark Brown , New EMU Australia 'Barakee' Shearling Boots, Mushroom, 10 M , BLACK HIGH HEEL ANKLE BOOTS WITH SIDE ZIP AND LEATHER LOOK. SIZE: 5.Report Kathye Knee High Western Boots - Women's Size 6.5, StoneCrown Vintage Womens Leio Suede Pointed Toe Ankle Fashion, Black Suede, Size 9.0Pleaser Delight-2017 white patent stiletto knee high peep toe boots 9 CLOSEOUTMudd Women's Western Brown Suede Ankle Boots 9.5 New With Out BoxWomen's Shoes Bearpaw Natalia Fringed Back Ankle Boot Pewter *New* size 10Calvin Klein Donilly Black Womens Shoes Size 5 M Boots MSRP $179 , Z-Coil Desert Hiker Boots, Women's US Size 8, Euro Size 39, UK Size 5.5 , Lucky Brand Womens Kambry Suede Pointed Toe Ankle Fashion Driftwood Size 9.0 z , new Womens black glittery 4"Block High Heel Over Knee slouch Sexy Boots Size 9 , Naya "Valerie" boots Leather Studded Booties sz 11 m new , Womens Hunter Wellington Boots Original Tall Rain Snow Wellies Ladies US 5-10 , SAS Women's Size 11 M "Twin" Style - BLACK - Leather Slip-On Loafer - NEW w/ BOXSeychelles Latest Nude Leather Lattice Platform Fashion Sneaker Shoe 8 New , NWT Marc Jacobs Black KARLIE POINTY BUTTON BALLERINA $295 SIZE 10Womens Sperry Top-Sider x Jaws Movie Seacoast Casual Shoes Blue Water j1 Size 8 , Jessica Simpson Women's Mandalaye Ballet Flat Black 8 B(M) US , FitFlop Women's Superchelsea Slip-on Pump Black/Black Snake Size 11.0Ladies Rieker Casual Flat Shoe '58867' , Nike W Air Max Thea Ultra FK 881175 004 Flyknit Black Grey , Women's Nike Shox NZ 314561-009 Running Shoes Sneakers Size US 8.5 Silver , New Nike Free Run+ 2 Ext Womens Running Shoes , Grace High Block Heels Tassel Ankle Boots Autumn Ladies Casual Shoes Size New , nike womens free RN flyknit running trainers 831070 404 sneakers shoes

CONVERSE CONVERSE Shoes 353466 localjoes-27454 Shoes BluexMulticolor 5 03de8bf -

Athletic Shoes