David Einhorn

David Einhorn

Last Update: 2014-02-14

Number of Stocks: 38
Number of New Stocks: 8

Total Value: $7,294 Mil
Q/Q Turnover: 15%

Countries: USA
Details: Top Buys | Top Sales | Top Holdings  Embed:

David Einhorn Watch

  • David Einhorn Comments on Vodafone

    In addition to MRVL and the Yen, Vodafone (UK: VOD)(VOD) was another material winner during the quarter. It is now clear that Verizon does in fact want to buy VOD’s 45% interest in Verizon Wireless. We can hear them now. We believe that a premium sale followed by a successful return and/or redeployment of the proceeds could unlock substantial value latent in VOD stock. VOD without Verizon Wireless might also become a good acquisition target for AT&T. During the quarter VOD shares advanced from £1.54 to £1.87.

    From David Einhorn's first quarter 2013 letter.  


  • David Einhorn Comments on Green Mountain Coffee Roasters

    The other significant loser in the quarter was Green Mountain Coffee Roasters (GMCR). We would love to be the “Credentialed Bear” that gets invited to ask tough questions at its annual shareholder meeting, but we aren’t waiting by our iPhones. Shares of GMCR increased from $41.34 to $56.76 in the quarter.

    From David Einhorn's first quarter 2013 letter.  


  • David Einhorn Comments on Apple

    (AAPL) shares fell from $532 to $443 during the quarter. The biggest problems with our AAPL investment are disappointing earnings and a diminished forecast. When AAPL announced its year-end result, it made clear that it would earn less in the March quarter than it did a year ago. Forward estimates have been falling for a while. Last July, consensus estimates for fiscal 2014 were $64 per share; estimates now stand at $44. When we thought the company would earn $64 per share, the shares seemed cheap even as they reached $700 in September. Of course, that required AAPL to meet that forecast.

    Our thesis is that AAPL has a terrific operating platform, engendering a loyal, sticky and growing customer base that will make repeated purchases of an expanding AAPL product offering. Unfortunately, there have been a series of disappointments including slower sales growth, lower margins, and increased competition. There have also been delays in new carrier wins, next generation product introductions, and new product category launches. While all of these have had an understandably negative impact on AAPL’s share price, we take a longer view and believe our thesis is intact.  


  • Greenlight Capital David Einhorn's First Quarter Letter to Investors

    From David Einhorn's Greenlight Capital, as of May 8, 2013:  


  • Billionaire David Einhorn Takes Profits In Marvell Tech

    The title sounds bad right? Einhorn has owned Marvell Technology (MVRL) since he first started buying up the stock during the third quarter of 2011. Recent news broke that Einhorn sold off some 1.27 million shares of Marvell at around $10.16 per share, worth some $12.9 million. Should investors consider this sale as the change in his opinion about Marvell? Should we turn bearish on Marvell now?

    Much of the news that hit the wire when Einhorn sold some of his Marvell stake over blew the story, when in reality, he was merely freeing up some capital in what turns out to be a selloff of less than 2.5% of his entire Marvell stake. The shares sold off by Einhorn and Greenlight are just a small fraction of its total stake in the semiconductor company; his sentiment about the stock appears to be quite bullish based on his history with the stock and his recent investor letter.  


  • David Einhorn Discusses the Implications of the Actions of the Federal Reserve

    The following is David Einhorn's introduction to an article that he wrote for the Huffington Post several months ago with respect to the policies of Ben Bernanke and the Federal Reserve:

      


  • Billionaire David Einhorn's Big Moves: Apple (AAPL), Google (GOOG) And More

    Be sure to check out our detailed stock analysis (click here).

    Billionaire David Einhorn, founder of value-oriented hedge fund Greenlight Capital, managed to return some 21.5% annually through 2010 (since he started Greenlight in 1991). Greenlight and Einhorn employ a fundamental approach to investing, focusing on intrinsic value. During the fourth quarter last year, Einhorn reiterated his confidence in a couple of his top picks by adding to his positions, notably keeping a certain tech giant as his top pick, while also betting on a couple other tech companies. Let's take a look at some of Einhorn's most notable trades (check out Einhorn's top picks).  


  • When David Einhorn Talks, Markets Listen... Usually

    An article on our favorite short-seller, David Einhorn, from Bloomberg Businessweek:

      


  • Billionaire David Einhorn's Big Moves: Apple (AAPL), Google (GOOG) and More

    Billionaire David Einhorn, founder of value-oriented hedge fund Greenlight Capital, managed to return some 21.5% annually through 2010 (since he started Greenlight in 1991). Greenlight and Einhorn employ a fundamental approach to investing, focusing on intrinsic value. During the fourth quarter last year, Einhorn reiterated his confidence in a couple of his top picks by adding to his positions, notably keeping a certain tech giant as his top pick, while also betting on a couple other tech companies. Let's take a look at some of Einhorn's most notable trades.

    Einhorn increased his Apple (AAPL) position, upping his shares 15%, keeping the tech giant as his top stock pick, which now makes up 10.8% of Greenlight's portfolio.  


  • David Einhorn's Presentation to Apple Shareholders



  • David Einhorn Gains 3% and Loses on Shorts in January – Greenlight Re Earnings Call Transcript

    David Einhorn’s comments from Greenlight’s fourth quarter and year-end 2012 conference call of Feb. 20, 2013:

    David Einhorn: The Greenlight Re investment portfolio lost 4.4% in the fourth quarter of 2012, which lowered our 2012 return to 7.1%. This was a disappointing result in a generally favorable investing environment. In the fourth quarter losses in our short portfolio included Green Mountain Coffee Roasters (GMCR), Moody’s and companies sensitive to declining iron ore prices, which accounted for more than all of the losses in the quarter. The long portfolio showed slight gains, as General Motors and other longs outpaced losses in Apple and Marvel Technologies. Our macro positions were also slightly positive, with gains on a weakening yen exceeded losses on gold and various other positions. In January, the investment portfolio gained 3%, helped by a recovery in Marvel, which reversed about half of its 2012 loss. January also had contributions from the yen continuing to weaken and from gains in long investments in Vodafone and the Dutch insurer Delta Lloyd. The short portfolio lost money in January.  


  • David Einhorn Buys Google, Vodafone and Western Digital

    David Einhorn, value investor and head of hedge fund Greenlight Capital, bought three new stocks in the fourth quarter: Google Inc. (GOOG), Vodafone Group Plc (VOD) and Western Digital Corp. (WDC). Greenlight Capital since inception in May 1996 has returned 19.4% on annualized basis, net of fees and expenses, after underperforming the market being up 8.3% 2012. New Buys

    Google Inc. (GOOG)  


  • David Einhorn's Letter to Apple Shareholders



  • Greenlight's Einhorn Talks Apple on Bloomberg TV: TRANSCRIPT

    David Einhorn, president of Greenlight Capital, told Bloomberg TV's Erik Schatzker and Stephanie Ruhle on "Market Makers" today that "several hundred dollars per share would be unlocked if Apple (AAPL) were to follow through on this suggestion…It doesn't put the company at risk. It's not financial leverage in the sense that debt's considered to be."

    Einhorn said: "The call I had with them yesterday was very friendly, a very good tone of voice. I had a nice conversation with Tim [Cook] on this topic. He said he wants to review this proposal, wants me to meet with him and their advisers.. "  


  • David Einhorn on CNBC Discussing His Apple Proposal

    David Einhorn on CNBC discussing his Apple proposal

      

  • David Einhorn’s 2012 Conviction Picks, Hits and Misses

    Upon the release of Greenlight Capital’s fourth quarter shareholder letter this week, penned by hedge fund manager David Einhorn, it was revealed that some of Einhorn’s high conviction stocks, or companies that Einhorn kept buying over the latest quarters, came up short of the Guru’s expectations.

    “The disappointing fourth quarter result reduced our year from good to pedestrian,” Greenlight admitted. “While it is hard to view our performance last year as a catastrophe, it nonetheless falls short of our goals.”  


  • David Einhorn Comments on GM

    The long portfolio was marginally profitable, led by General Motors (GM) which advanced from $22.75 to $28.83 in the quarter. GM repurchased more than 11% of its shares from the government, which has committed to sell the balance of its stake over the next year. GM’s reduced share count is quite accretive to its earnings, and we hope that the recent action is afirst step by management toward shareholder-friendly capital allocation. Even after the repurchase, GM holds substantial excess capital and has a good opportunity to further reward shareholders through additional share repurchases either from the government or in the open market.

    From David Einhorn's fourth quarter letter.  


  • David Einhorn Comments on Huntington Ingalls Industries

    Huntington Ingalls Industries (HII) executed relatively well in difficult circumstances over our holding period and the investment compounded at a high single-digit rate of return despite the challenging macro and federal spending environment. We exited the long position with a small gain.

    From David Einhorn's fourth quarter letter.  


  • David Einhorn Comments on Pitney Bowes

    Our three year old thesis that Pitney Bowes (PBI) was a “melting ice cube” due to secular declining U.S. mail volumes played out. The company has been in a perpetual restructuringmode and reported a series of disappointing quarters. In addition, the viability of the dividendcame into question. We covered the short position with a nice gain.

    From David Einhorn's fourth quarter letter.  


  • David Einhorn Comments on Computer Sciences Corp

    Computer Sciences Corp. (CSC) is an IT consulting and outsourcing business. In 2011, the stock declined more than 50% due to deteriorating profitability, missed estimates, and controversy relating to the company's large contract with the U.K. National Health Service.We began purchasing shares in February 2012, after the company announced a change in management. We continued purchasing shares throughout the year and established a position at an average price of $27.78 per share. We view CSC as a fundamentally sound business that has had margins well below that of its peers as a result of organizational inefficiencies, historical mismanagement, and various non-recurring charges that obscured underlying earnings. In addition, the company owned several valuable assets, including its high-margin Equifax credit services affiliate that we believed could be monetized at an attractive multiple.

    We believe that CSC has earnings power in excess of $4.00 per share and that the new management team is capable of turning the company around to achieve those earnings, and possibly more. The early results have been promising, as CSC has reported two quarters of above-consensus earnings, monetized its Equifax affiliate and initiated a share repurchase program. CSC shares closed the year at $40.05 each. While the stock has appreciated in response to management’s progress to date, we continue to believe that the company has significant opportunities for margin improvement, free cash flow conversion and capital deployment under the leadership of its well incentivized and shareholder-friendly management team.  


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