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

La Sportiva Trango GTX TRK GTX Women's Trango Sportiva Greenbay Hiking Boots 8M 8813c58
La Sportiva Trango GTX TRK GTX Women's Trango Sportiva Greenbay Hiking Boots 8M 8813c58 -

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.

$179 MARC FISHER SASHI Taupe Black Leather Designer Knee High Boots 10JANET & JANET Women’s Ankle Boots NEW (36.5) , Lonestar Beige Suede Pointed Toe Mid Calf Cowboy Boot Size 6.5Claudia Ciuti Black Suede Platform Knee High Boots Size 7 , Keen Women’s Keen-Dry Brown Leather Hiking Ankle Boots Size 9.5 $125 , New FRYE Women's Cara Short Leather Boot, Smoke. Pick your size. , BX638 DANIELA DOLCI shoes black leather women ankle boots , Womens Ethnic Embroidery Floral High Block Heel Riding Suede Ankle Boots ShoesPunk lolita 15-Hole Buckle Strap Studs Boots 8.5/9 BLACK 40 2048AQUA WONDER Taupe Suede Designer Boots Ankle Boots 7.0 MAdam Tucker Back Strap Suede Ankle Booties Padded Jenna Size 9 New BurgundyAQUA WONDER Taupe Suede Designer Boots Ankle Boots 9.0 MMunro Taylor Leopard Fabric Bootie- Size 11SSKelsi Dagger Brooklyn Women's Borough Ankle Boot, Black, Size 7.0Nine West Nicolah Women US 8.5 Black Knee High Boot , Women's Round TOe Floral Buckle Strap Block Heels Zip Suede Ankle Boots Shoes sz , emu Shoes 051479 Brown 24cmMarc Fisher Womens jayla Pointed Toe Ankle Fashion Boots, Red, Size 9.5 , TEVA DE LA VINA MOSACI WOMEN SHORT BOOTS LEATHER GREY US 7 ///JP 24 , OTBT Women's Rocker Wedge Bootie, Stone, Size 7.0 , VANESSA WU été 2017 : richelieu ref RL1284PN neuves et étiquetées valeurDingo boot shoes Size 10 (women's) tan brand new in box , Dival Goat fur Boots Mid-calf Ivory Made in Italy Size 38(US 6.5) , NEW ELIE TAHARI $498 MERLOT BRIA SUEDE LEATHER BOOTIE BOOTS SHOES SZ 40 US 10German Shepherd Print Faux Fur Boots For Women-Free ShippingMINNETONKA BROWN DISTRESSED LEATHER MADE IN USA MOCCASIN BOOTS SIZE 4- 5 , Jeffrey Campbell EVERWELL BOOTS / 6.5 , SPM SHOES & BOOTS - BOTTINES CAVALIERES CUIR VIEUX ROSE BEIGE 39 NEUF & BOITE , Chaps 10B Black Leather Tall Zip Boots NIB Really Nice & Cute! $109 ,

More Stories

Journee Collection Studded Knee-High Riding Boots Womens Size 10 Brown (Repair)WOMENS NEW LADIES BLACK MIDCALF FAUX SUEDE FUR LINED WINTER STYLE BOOTS 888B35 Diandra Over The Knee Classic Boots, Black , Sugar Women's Nectar Ankle Bootie, Dark Natural, Size 8.0Kamik Boston winter snow boots womens size 8 ice -25F° black cute stylishLiz Claiborne Posh Womens Ankle Booties w/Zipper Taupe Size 9MNEW NOS WEINBRENNER USA "Wood n' Stream" Boots - 7.5 M / 9.5 W - WIDE (W)NEW Tundra Women's Casey Rain Boots, Navy, Size 10 Waterproof Snow RainCarlos Santana New Candace Brown Womens Shoes Size 6.5 M Boots MSRP $109Vince Camuto Tall Riding Boots size 7 Black new with no tags or box. , Sperry Top-Sider Women's Boots Size 9 Casual Brown Leather Boots Mid-Calf BootsClarks "Gelata Flora" Casual Booties M- Pick SZ/Color.Teva Afton Waterproof Brown Leather Tall Knee High Boots Women's 7 New $180 , ITALIAN SHORT NAVY BOOTS, SIZE 36Alegria Paloma Leather Shoes Black Women Sz 37 , New in Box Frye Womens Erin Work Boot Medium Grey 6.5 M US , Jon Josef Monaco Navy Degrade Patent Leather FlatNEW AUTH PRADA CAP TOE LOGO BALLET BALLERINA FLATS BLACK Sz 40 IT , CLARKS Women's Caddell Denali Slip-On Loafer - Choose SZ/ColorTory Burch RARE Rose Gold Reva Flats Sz 10 NEW ! Retail $250 SOLD OUTKenneth Cole New York Silver "Rainer" Platform Loafer Size 8M NWOB , Lucky Brand Women's Chennie Loafer - Choose SZ/ColorSteve Madden Womens jill Closed Toe Mules Black Leather Size 6.0BOBS from Skechers Women's Pureflex3-Wonderlove Mary Jane FlatNATURALIZER STELLA Women Point-Toe Ballet Flats Size 7.5 W Lilac Leather , Nike Air Max Axis SE Womens AA2167-101 Mountain Blue White Running Shoes Size 6Fabulicious Women's Belle 316 Gold Metallic Polyurethane/Clear , Nike lunar size 7.5 Ladies running shoes , Women's Dansko Women's Laura Flat FlatsWomen's Cognac Leather Boots Size 8m 52617/Irene

La Sportiva Trango GTX TRK GTX Women's Trango Sportiva Greenbay Hiking Boots 8M 8813c58 -