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

Marc Fisher NEW Grey Marc Suede Grey Serenity Peep-Toe Ankle Bootie NEW 79bbda5
Marc Fisher NEW Grey Marc Suede Grey Serenity Peep-Toe Ankle Bootie NEW 79bbda5 -

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.

$199 BCBG Max Azria Women Lexy Moc Toe Zipper Boot Shoe,Dark Caramel,US 8.5BCBG Maxazria Black Hugo Tumbled Leather High-Heel Boot Sz 6 see notes$139 BCBG BCBGeneration Womens BG-Joesana Ankle Bootie Shoe, Black, US 9.5BCBGMAXAZRIA Womens Aubrey High Heel Ankle Boot Shoes, Charcoal, US 10 , $295 BCBG BCBGMAXAZRIA Women MA-Elda 3 Knee High Zip Up Boot Shoe, Black, US 8 , Aerosoles Speartint Women's Dark Brown Ankle Boots 523 , Marc Fisher Brown Quilted Leather Janna Buckle Detail Boots 9 SALE , $199 BCBG MAXAZRIA Women Aubrey Ankle Zip Up Bootie Shoe, Brown Suede, US 9.5 , Marc By Marc Jacobs Gray Suede Round Toe Zip Up Boots Size 39.5 9.5La Canadienne Korey Stone Oiled Suede size 9.5 new in box , VTG LL Bean Maine Hunting Shoes Women's 6 Low Ankle Duck Boots Made In USA , $199 BCBG Max Azria Womens Lexy Tall Canvas Boots Shoe, Dark Caramel, US 8 , Totes STARIDE 2 Womens Black Waterproof Front Zip Up Winter Boots , $450 BCBG MAXAZRIA Women MA-Valerie1 Knee High Boot Shoe,Grigio Kidsuede,US 9 , Nine West Fraser Riding Boots Women's 10.5M Black Leather Knee High Moto Shoes , BX711 SARA LOPEZ shoes black leather women ankle boots$95 MTNG Mustang Womens 58347 Zip Up Bootie Shoes, Taupe, 40 EU / 8.5-9 US$495 BCBG BCBGMAXAZRIA Womens Hughes Tall Zipper Boot Shoe, Charcoal, US 6CLARKS Women's Muckers Swale Snow Boot , SALE Wide Width & Shaft Granny Victorian Renaissance Costume Black Calf Boots 10Arizona Co Women 7 Black Bandana Style Woven Ankle Bootie Casual Shoes BootSteve Madden Womens 'San Jose' Zipper Casual Ankle Boot, Black Leather, US 7SO Ankle Boots Women's Shoes Sweater-Knit Wedge Black Boot Backpack Heels NEW$209 BCBG BCBGeneration Womens BG-Adrice Over The Knee Boot Shoe, Black, US 6 , Cliff By Stone Mountain Flossy Knee High Boots Studded Moto Chic Stone Womens 8Via Spiga Women Tocarra Leather Ankle Booties Shoes Sz 10.5 M Black High Heel , Stuart Weitzman SZ 9 N Narrow Black Mid-Calf Boots Leather Shoes Heels , INC International Concepts PETRA Black Designer Knee High Boots Heels 5.5 $149 , Ariat Fatbaby Saddle Western Boot - Cowboy Exotic Riding Russet Rebel Womens 7 B ,

More Stories

Aquatalia Women's Suede Ankle Faux Fur Boots Size 6.5BELLA MARIE Women's Side Zip Stacked Block Heel Ankle Booties TAN Vegan Suede , New Women Breckelles Gina-32 Faux Suede Falling Fringe Chunky Heel Bootie , Dakota 8" Mackenzie STCP Women's Brown Work Boots 8WTassel Knee High Boots Women Winter Warm shoes woman Wedge Heels Shoes 34-43 , Dolce Vita Landrie Knee-High Flat Boots, Black, 6.5 US Display , skintone 4.5"High Block Heel Open Toe Sexy Stretchy Over sexy Knee Boot Size 8.5G.I.L.I. Leather Pointed Toe Ankle Boots - Kodelle pick size color , Naturalizer Women's Quinlee Black Leather Boot 6.5M N5 Comfort Wide ShaftSteven By Steve Madden Intyce Brown Leather Fashion Boots Size 6 M , awesome KENNETH COLE glossy black leather side zip riding boots 6 36 , Mia Limited Edition Women Bianka COGNAC Leather Boot LE BL4329 Buckle NEW $289Botte TAMARIS chaussure talon plate femme bottine cavaliére moto hiver fourré 40Nine West Women's Size 8 Kyra Black Patent Leather Ankle Boots Bootie , Lacoste Women Marthe Slip On Shoes Canvas FlatsLucky Brand Rain And Snow Boots Women Size 8Tory Burch Red Wine Patent Leather T Logo Shoes Size 8 , Tahari Womens Inca Closed Toe Ballet Flats, Charcoal, Size 9.5 , S-36432 New Christian Louboutin Zazou Flat Pony Leopard Size US 6/marked 36STELLA MCCARTNEY SHINY STARLETS Black Glitter Designer Flats Comfort 9.0 MHaflinger AR OLIVIA SIL GRY Womens Olivia Owl Clog/Mule 39 (USNEW AGL Attilio Giusti Leombruni Bonbon Patent Oxfords: SZ 34 NIBHot Chocolate Design Chocolaticas Popcorn Women's Mary Jane Flat Multicoloure... , Cobb Hill Rockport Women's Lizzie Ballet Flat, Black, 10 N US , Brooks GTS 15 Adrenaline Women's Running Shoes 1201741B458 Size 8.5NEW BALANCE Womens WW577VK Black Leather Casual Walking Shoes Sz 8 W F6-706 , Women's Loro Piana summer shoes FlatsNaturalizer Womens Size 8 Heidell Brown Leather Zip High Heel Mid Calf BootsTaupe Zipper Closure Faux Suede Women Thigh-High Boots 4" Chunky Heels Size 8 , Lucky Brand Women's Natania Bootie Mini Metallic Cow Hair Calf Leather ,

Marc Fisher NEW Grey Marc Suede Grey Serenity Peep-Toe Ankle Bootie NEW 79bbda5 -