In his recent interview on Real Vision, David Einhorn discussed apathetic investors in today’s market. Here’s an excerpt from the interview:
DAVID EINHORN: Well, I don’t, look, eventually the cycle turns, because cycles are cycles. I think where we are now is well beyond the types of arguments that we were having in 1999 or 2000. Whether you date that cycle from when Netscape went public or to win America Online or maybe the bailout of long-term capital, I mean we’re many, many years longer into this go around.
And the discussion now isn’t even necessarily about the viability of any of the businesses or some of the businesses. There’s just, hey, people are going to buy the stock, and they’re going to hold on for dear life, and there’s not a lot of people doing financial analysis. It’s just not really part of the discussion for many companies.
And it’s true for some things that we have a negative view on but it’s also true for things we own. Where we own companies, and they announce their results, and they sometimes announce things that are extraordinarily surprising and surprising in a very positive way.
And it’s not that the stocks are hated, it’s that it’s apathetic. There’s nobody actually listening. There’s nobody on the call. There’s nobody performing analysis there’s nobody recommending the stock. There’s nobody there to buy the stock. So companies can report stupendous news and have very, very minimal chair reaction to it.
You can watch the entire interview here:
David Einhorn – Real Vision October 2021
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