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

Walking 27798 Cradles Women's Halle Slingback localjoes-27798 White Halle/Silver Snake Print Strappy Sandals 3b4ba6d
Walking 27798 Cradles Women's Halle Slingback localjoes-27798 White Halle/Silver Snake Print Strappy Sandals 3b4ba6d -

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.

Nike Air Huarache Run Ultra SE Womens 859516-102 Orewood Running Shoes Size 6Keen Women's Lower East Side Mary Jane Grey/BlackKeen Women's Whisper Sandal Raven/Rose DawnOluKai Women's Eheu T Strap Sandal Pewter/Charcoal Leather , OluKai Women's Upena Quarter Strap Sandal Kona Coffee LeatherSofft Women's Innis Wedge Sandal Baywater King Suede , Aravon Women's Wembly Side Zipper Slip On Shoe Black Textile Zipper , Vionic with Orthaheel Technology Women's Rae Slip-On Sneaker Ivory Canvas , Womens adidas Originals Arkyn Boost Casual Shoes Core Black/Ash Pearl CQ2749 BLK , OluKai Women's Upena Quarter Strap Sandal Charcoal/Pewter Leather , PUMA Defy Women's Winsome Orchid/White 19094907 , Merrell Women's Encore Q2 Breeze Slip-On Black Mesh , Nike Air Huarache Run Ultra SE Womens 859516-102 Orewood Running Shoes Size 6.5 , adidas Edge Lux Clima Women's Clear Orange/White/Trace Royal AQ0063 , Adidas Eqt Support Adv Womens AQ0916 Cloud White Grey Running Shoes Size 8.5 , Brooks Ghost 10 Women's Black/Pink Peacock/Living Coral 2461D067Comfortiva Women's Lemont Sneaker Brown Combo Leather/Snake PrintNike Air Huarache Run Ultra Womens 819151-006 Cool Grey Running Shoes Size 7PUMA Defy Varsity Women's Black/Metallic Gold 19114801 , Altra Womens Torin 3 Shoes AFW1737F-4 Grey/Pink Size 7.5Keen Women's Lower East Side Mary Jane Red Brown/Powder , The North Face Women's Storm III Multisport Shoe Dark Gull Grey/Marlin Blue , Reebok Steady Stride II Womens J16774 Black Grey Leather Walking Shoes Size 8Adidas Tubular Viral Womens S75907 Silver Metallic Athletic Shoes Size 8 , PUMA Fenty Avid Women's Bay/Cherry Tomato/Vanilla Ice 36768305Altra Womens Torin 3 Shoes AFW1737F-4 Grey/Pink Size 7 , Under Armour SpeedForm Gemini 3, Women's Running Shoes Size 8Sofft Women's Innis Wedge Sandal Silver Atlas , Nike Air Zoom Winflo 3 Women's Pure Platinum/Volt/White/White 31562009

More Stories

LADIES WOMEN POINTED TOE ANKLE BOOT LATEST FASHION HIGH HEELS SHOES 3-8ACME Vintage Women's Size 6 Cowboy BootsBlack 4" High Block Heel Open Toe Sexy Summer Gladiator Knee Boot Size 7Giani Bernini Raiven Brown Womens Shoes Size 11 M Boots MSRP $179.99 , Born Women's Size 6 Brown Leather Triple Buckle Knee High Boots eu 36.5 , Cole Haan Gilmore Wedge Womens Viola Suede Leather Ballet Flats size 6 , LK Bennett Black Patent Luisa Flats Size 39New Womens Tommy Hilfiger Silvina Black Boots Sz 9 Fleece Lined - Knit Cuff , Women's Minnetonka Brown Suede 3 Layer Fringe Boots Mid-calf Size 6NEW!! Via Spiga Suede Fringe Bootie Niurka ~ Size:8MVINTAGE Derby Pointus Tout Cuir façon Python T 37,5 TRES BON ETATNEW FERGALICIOUS BY FERGIE TAUPE TYRA BOOTS SZ 7.5Anne Klein Women's Able Fabric Ballet Flat Ivory/Multi 8 M US , SPRING STEP PRO MANILA-BM-M - MANILA Size: - Color: , New Dansko manda washed leather sandals. Sz39. RT$120. , Golden Goose Super Star black Leather and Sequins Sneakers Original price $887Zimmermann Goldentime Pointed Flat | Tangerine Vine Floral | Fresh water PearlsBrand New Women’s PRADA Oxford Shoe. , Mizuno Wave Creation 17 Women's Running Shoes - Black/Blue - Sz 6 , Skechers Active 22213/AQUA Women's prospects Aqua Blue Size 8.5 CLEARANCE , AUSTRALIA LUXE COLLECTIVE BOMBAY SHEARLING BEVA COLOR SHOES-US 8-MSRP $365-NEWRyka Women's Namaste Sneaker - Choose SZ/Color , Diadora HAWK 6 W-W Womens Hawk W running Shoe- Choose SZ/Color.Nike Nike Free 5.0 Tr Fit 4 Women's Shoes Size 5 , New Balance Women's WT410v5 Cushioning Trail Running Shoe - Choose SZ/Color , adidas Women's Cloudfoam Advantage W Fashion Sneaker White/Black/White 8 M US , Asics Gel-Nimbus 14 Women's Sz 12 Tennis Running Shoes Bright/Grape/Pink T291N , Altra Torin NYC Zero Drop Women's Running Shoe Sz US 8.5 Eu 40 Black Purple 86-1 , Women's Baretraps Giles Women's Boots Black Boots , Women's Patent Leather Pointed TOE High Heels Shoes Ankle Boots Plus SIZE 4-10.5

Walking 27798 Cradles Women's Halle Slingback localjoes-27798 White Halle/Silver Snake Print Strappy Sandals 3b4ba6d -

Athletic Shoes