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

Reba M New Womens Reba Stand Dark Brown Leather Boots 6.5 Womens M Shoes NWOB 3f6c785
Reba M New Womens Reba Stand Dark Brown Leather Boots 6.5 Womens M Shoes NWOB 3f6c785 -

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.

V32 New Vasque Breeze 2.0 Low Gore-Tex WP Hiking Trails Boots Women 7 BrownWomens High Top Comfort Flat Cowboy Faux Suede Pointy Toe Casual Riding ShoesVINTAGE Bottes SONATE France Cuir Noir doublé Cuir T 39 --> 38 TTBE , POLO RALPH LAUREN BELEN women drivers (8M, DK CHOCOLA)Nocona LDUM11 Womens Missouri Brown Cowhide Branded College Boots , Ladies Club Shoes Black Genuine Leather High Heel Zip Up Knee Boots US Size b087Nocona LDUG11 Womens Georgia Brown Cowhide Branded College Boots , ZARA COLLECTION BY BASIC ANKLE BOOTS SIZE 38 BLACK BROWN BACK ZIPPERVince Camuto Women's Patira Fashion Boot , Nocona LDBYU11 Womens Brigham Young University Tan Cowhide Branded College BootsCORSO COMO - HARVERST - Women's Ankle Boots Heels - Distressed Leather - Size 8 , Womens 7 M Naked Feet Fringe Tan Leather Cowboy Western Cowgirl Boots Snip Toe , Fly Loundon Womens hota Closed Toe Ankle Fashion Boots, sludge olive, Size 7.5 4Adrienne Vittadini Womens Sella Leather Pointed Toe Ankle, Black, Size 11.0 GjlrWomens Hot Cowboy Western Denim Mid Calf Boots Block Heel Vintage Zip Shoes , Franco Sarto Womens Owens Leather Closed Toe Ankle, Black Snake, Size 7.0 , Jessica Simpson Womens Maxi Boot- Select SZ/Color. , 39 - Luxury Rebel Free People Brown Suede AMY Boots Ankle Booties 0000MBNew Women's Vince Camuto Karita OTK Black Leather Riding Boots $239 SALE!!! , Jessica Simpson Womens Pacifika Pointed Toe Mid-Calf Black LXPTSC Size 9.0Womens 8 8.5 39 ECCO Track Sport Light Brown Gore-Tex Ankle Boots Brown LeatherBottines Boots ATRAI Cuir Marron Fauve T 37 Etat Neuf$175 JUICY COUTURE MARGOT Burgundy Waxy Suede Pompom Designer Mid Calf Boots 9Loeffler Randall Pebbled Leather Pointed-Toe Ankle Boots sz 7.5ROCKPORT LUX LODGE CHILI K62839 LUXURY HIGH WATERPROOF BOOTS HYDRO-SHIELDLavorazione Artigiana Boots Size 10 US Brown Leather Knee High , New Womens Merrell Silversun Zip Plum Waterproof Leather Winter Boots Size 6Bottes BOCAGE Daim Chamois T 38 TRES BON ETAT , NIB $225 SAM EDELMAN KEEGAN FRINGE BELTED STRAPS SUEDE PLATFORM BOOTS Women's 10

More Stories

new ladies Black Stars 5"High Wedge 1.5"Platform Sexy Ankle Boot Size 7 , Black 5.5" High Wedge Heel 1.5" Platform Round Toe Sexy Knee Boots Size 6 , Franco Sarto Ranger Womens Shoes Size 7.5 Brown Solid Leather Knee High BootsWinter Womens Casual Thickening Plus Velvet Wool Flat Round Head Snow Boots , BLU SHU Boots Black Faux Leather Heel Size 36 / SB 517Womens Steve By Steve Madden Boot Brooker Black Floral Detail Ankle Booties 10NEW Kenneth Cole Reaction LIFT IT Taupe Leather Ankle Boots Side Zip Low Heel 7MAlfani New Womens Jeanna Dark Brown Boots 9.5 M Shoes NWB , Ivanka Trump Avali Gray Womens Shoes Size 9.5 M Boots MSRP $150New GEOX RESPIRA leather ballet flats shoes cherry 9.5 10 US 40 Italy , BIRKI'S BY BIRKENSTOCK DISNEY MINNIE MOUSE U.S. WOMENS 9N (5200) , Spring Womens Embroidery Wukong Floral Slip On Loafers Shoes Vogue Cotton Flats100% Authentic Brand New Prada Buffalo Lux Flats, Sz 9,5Saint Laurent YSL Espadrilles St Venice Floral Studded Flats Ballerina 39 9 , STUART WEITZMAN STRAP BLACK LEATHER SNAKE SKIN CRYSTAL FLATS LOAFERS SHOES NIB 7 , Merrell Women's Encore Breeze 3 Slip-On Shoe,Black,6 M US , **Sugar Grasshopper Slip On Sneaker - Women's Size 9.5, Blush , SAS Black Patent Leather Croc Slip-On Mocs Loafers Women Sz 7.5W USA Tripad SoftNew Tory Burch Womens Delphine Black Ballet Flats Size 9 , NEW CLARKS WOMENS SILLIAN BELLA - WOMENS SHOES - BLACKLadies Waldlaufer 496301 Black Leather Double Strap Shoes , Converse Women's Chuck Taylor All Star HI Parchment Sneakers Ivory RRP , New Balance 790 Waterproof Hiking Sneaker Ankle High US 10 D Women Mesh , Nike ID Womens Air Max Sneakers 7 314352-993 Brown Tan Running TrainingConverse All Star Womens Shoes Size US 10 Side Zipper Black Glitter Hi Top , 12218 BKHP Black Pink Skechers Shoes Memory Foam Women's Air Cushion Casual Mesh , Hoka One One W Clifton 3 Running Shoe Women's Size 8 Blue Orange , Steve Madden 8 M Rozamare Drk Cognac Leather Ankle Boots Womens Shoes , Cynthia Vincent Brown Crinkle Pebble Leather Ankle boots 9.5 MAIR JORDAN 1 RETRO HIGH SOH AO1847-440 Light Aqua Metallic Gold Women's Sneakers

Reba M New Womens Reba Stand Dark Brown Leather Boots 6.5 Womens M Shoes NWOB 3f6c785 -