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

Sudini Women's Darlene Ankle Bootie, Taupe, 27788 8 M 8 Bootie, US d2aeae8
Sudini Women's Darlene Ankle Bootie, Taupe, 27788 8 M 8 Bootie, US d2aeae8 -

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.

Easy Street Women's Endear Ankle Bootie, Brown Lamey/Snake, 8 W US , Soft Style by Hush Puppies Women's Gleda Ankle Bootie, Taupe Nubuck, 9.5 M US , Nine West Women's Quarryn Suede Ankle Boot , Easy Street Women's Bridle Ankle Bootie, Granite, 6.5 M US , LifeStride Women's Loften Ankle Bootie, Taupe, 9.5 M USEasy Street Women's Endear Ankle Bootie, Brown/Leopard, 9 M USRampage Women's Hansel Zipper and Buckle Knee-High Riding Boot,Cognac Sn Cognac , Rock & Candy Women's Spraypaint-e Ankle Bootie, Light Tan Faux, 6.5 M USDizzy Womens P-Picabow Rubber Almond Toe Ankle Rainboots Black Size 8.0 2cxE , Opportunity Shoes - Corso Como Women's Perfecto Ankle Boot, Taupe Split Suede, 9DC Women's Amnesti TX Ankle Boot, Maroon, 6 B B US , Blowfish Women's Mover Boot, Black, 6.5 M USSeychelles Women's Around The World Ankle Bootie, Silver, 6.5 M USBC Footwear Women's Blaze Ankle Bootie, Gold Exotic, 8.5 M USStyle by Charles David Women's Lenny Fashion Boot, Brown, 10 Medium US , New Women's Mid Size Block Heel Chunky Sole Stretchy Suede Thigh Boots , Aerosoles Women's Get Fit Boot, Wine Suede, 5 M USVolatile Women's Comfee Loafer, Taupe, 6 M USMIA Women's Joaquin Ankle Bootie, Charcoal, 8.5 M USDC Women's Amnesti TX Ankle Boot, Maroon, 6.5 B B US , COUNTRY ROAD Leather Ankle Biker Boots sz 7 / 38 black suede sexy EUC! rrp$249American Rag Womens BAYLIE Closed Toe Ankle Platform Boots Chestnut Size 7.0 7Dizzy Womens P-Picabow Rubber Almond Toe Ankle Rainboots Black Size 7.0 REgS , Madden Girl Womens SHAARE Closed Toe Ankle Fashion Boots Chestnut Size 5.5Franco Sarto Womens CLARITY WIDE CALF Closed Toe Knee High Br/Ac Size 5.0 AHu4 , LFL by Lust for Life Womens lex Fabric Almond Toe Over Blush Velvet Size 6.0 6 , Bare Traps Womens lainey Suede Almond Toe Ankle Cold Weather Black Size 7.5 snAnn Marino Womens VAIL Canvas Closed Toe Cold Weather Boots Tan Size 7.0 biToDizzy Womens P-Picabow Rubber Almond Toe Ankle Rainboots Black Size 8.0 uRDN ,

More Stories

Womens Kamik Rain Mud Boots 11 French Blue Made in Canada , Wild Diva Joyce-06 Over-The-Knee Boots 012, Black, 7.5 US , Call It Spring Metaponto Ankle Boots 935, Black, 7.5 US / 38 EUAsh Suede Ankle Boots Booties 36.5 taupe , clear rain boots EUC clear neon green size 38Sbicca Womens Byanca Gray Fringe Ankle Boots Shoes 9 Medium (B,M) BHFO 6617 , Skechers Women's Winter Boots Keepsakes - Sparkplug Bronze, Navy or Silver 48042Naughty Monkey Womens Noah Almond Toe Stacked Heel Ankle Booties Shoes BHFO 0640 , Gray 1" Wedge Heel Comfortable Sexy Knee Boots Top Rabbit Fur Size 6new ladies Camel Color Slouch Flat Sexy Knee Boots Size 5.5 , LUCKY BRAND 'Brekke' Ankle Bootie Taupe Oiled Suede Size 12M New $130 RetailCutie Kawaii Decora Pastel Candy Pink Bunny Rabbit Bunny Hi Top Sneaker Boot 35Fergie Women's Dolly Oxford, Silver, Size 9.5Karen Scott NEW 11 M CASS Fashion Knee-High Dark Brown Boots WomensBADGLEY MISCHKA Women's MARGARITA BLKSAT Black Ankle Boots Booties Size 8.5EILEEN FISHER RAY Studded Slip On Flat Loafer Shoes Seal Oiled Leather Size 9.5 , Loafer Ivanka Trump Weven 2 Light Pink Satin , ECCO Womens TouchBallerina 2.0 Ballet Flat- Pick SZ/Color. , Pikolinos Moccasin Brown Size 37 women's ( 626) DisplayNIB Tory Burch Madalena 70MM Wedge Slide Vintage Vachetta 9.5 , JCREW Charlie Penny Loafers in Suede Flats $168 10 Black F5592 SOLDOUT!Woman Sanuk Yoga Joy Flip Flop Sandal SWS10275 Black 100% Original Brand New , Nike 902853-001 Air Max Motion Women’s Size 8 Black Athletics Shoes F4-643 , TARYN ROSE Tan Leather Shoes Size 9.5 , Mt. Emey Women's 9302Skechers Shape-Ups WORK Womens Shoes White Leather US 9 , Womens Tassel Bohemia Style Round Toe Faux Suede Ankle Winter Warm Boots ShoesNike Free TR Flyknit 3 Atmosphere Grey Pink Women Training Workout 2018 ALL NEW , Reebok Women's FREESTYLE VIBRAM AMBER ROSE MUVA FUKA Shoes Merlot CM9920 bNike Women's Zoom Hyperspike Volleyball Shoes Pure Platinum 585763-010 Size 10.5

Sudini Women's Darlene Ankle Bootie, Taupe, 27788 8 M 8 Bootie, US d2aeae8 -