Tag Archive

During his recent interview with CNBC, David Einhorn acknowledges that the current stock market as the most expensive he’s seen, with many companies overvalued. However, he isn’t outright bearish, as overpriced markets can persist for extended periods, citing past examples like negative interest rates. While he doubts this is an … Read More

In his lastest Q2 2024 Letter, David Einhorn discussed the U.S. political situation and upcoming presidential election, noting that from a market perspective, it doesn’t matter who wins, as both parties favor large deficits despite a strong economy. This supports his expectations of higher secular inflation. He also criticizes both parties, … Read More

In his book – Fooling Some of the People All of the Time, David Einhorn describes the technology stock bubble, where investors poured capital into tech stocks, abandoning traditional investments and value investing. Julian Robertson’s Tiger Fund, which held old-economy stocks, suffered, leading to its liquidation. Einhorn’s fund experienced significant … Read More

In his latest Q1 2024 Letter, David Einhorn says he excited about today’s opportunity set in what he calls a ‘broken’ market. Einhorn explains that the reasons the market is broken is due to: Investors do not care about valuation (passive index funds); Investors cannot figure out valuation (most retail … Read More

One of the best resources for investors are the publicly available 13F-HR documents that each fund is required to submit to the SEC. These documents allow investors to track their favorite superinvestors, their fund’s current holdings, plus their new buys and sold out positions. We spend a lot of time … Read More

In this interview with CNBC, David Einhorn says that the traditional value investing industry, where professionals managed funds and searched for undervalued stocks, has shrunk due to the shift to indexing. This means there’s less competition for value investors today, who can find more undervalued securities. Value investing itself remains … Read More

In his recent interview with The Money Maze Podcast, David Einhorn discussed the shift in his value investing strategy to take advantage of changes in the investment environment. Here’s how his strategy has changed: Past: Focused on identifying undervalued stocks before the market realizes their potential. This relied on market … Read More

In this interview with Masters in Business, David Einhorn explains why his investing approach is based on narrative and potential, which can lead to undervalued discoveries. Key takeaways include: Start with a qualitative assessment: seeking undervalued companies by identifying misunderstood narratives Focus on differences of opinion, not quantitative ratios Look for companies with … Read More

In his recent Q4 2023 Letter, David Einhorn highlighted the impressive performance of his fund, which returned 22.1% in 2023, despite unfavorable market conditions and a conservative investment approach. He attributes the success to a shift in their investment style, focusing on: Disciplined pricing: Buying undervalued assets Investment returns from … Read More

In his latest Greenlight Q3 2023 Letter, David Einhorn says he’s on a ‘buyers strike’ amid the current extreme levels of geopolitical tension which will lead to lower stock prices. At that point, he intends to be positioned to buy beaten-down stocks and some truly distressed debt, should the opportunity … Read More

One of the best resources for investors are the publicly available 13F-HR documents that each fund is required to submit to the SEC. These documents allow investors to track their favorite superinvestors, their fund’s current holdings, plus their new buys and sold out positions. We spend a lot of time … Read More

In his book, Fooling Some of the People All of the Time, David Einhorn discusses the importance of understanding your counterparty on the other side of the trade. Here’s an excerpt from the book: Greenlight takes the opposite approach. We start by asking why a security is likely to be … Read More

According to his latest Q2 2023 Letter, David Einhorn’s Greenlight Capital funds returned 14.5% in the second quarter of 2023, net of fees and expenses, compared to an 8.7% return for the S&P 500 index. He discussed why he’s ‘worried’ about the future of the market. Here’s an excerpt from … Read More

During his recent Q2 2023 Earnings Call, David Einhorn discussed “Animal Spirits” returning to the anti-value pockets of the market. Here’s an excerpt from the call: The first half of 2023 was an extremely difficult period for shorting as animal spirits returned to the anti-value pockets of the market. While … Read More

During his recent interview with The Money Maze Podcast, David Einhorn discusses the biggest change to value investing today. Here’s an excerpt from the interview: Einhorn: I would tend to have looked at things a long time ago, which is our business was buy things that are sort of cheap, … Read More

During this interview with Cambridge Union, David Einhorn discusses what investors should do when they’re ‘on tilt’. Here’s an excerpt from the interview: Einhorn: There’s some overlap in the skill-sets. Like if you just think about an investment versus a poker hand, there’s some information that you know. You know … Read More

In his Q1 2023 Letter, David Einhorn explained why the economic outlook is unusually difficult to project. Here’s an excerpt from the letter: Einhorn: Macro was a small detractor for the quarter, with positive contribution from our gold and inflation positions, which were slightly more than offset by negative-performing interest … Read More

During this interview with Invest Like The Best, David Einhorn discusses what to do when all of your stocks appear to be losers. Here’s an excerpt from the interview: Einhorn: It was very, very difficult. We weren’t making money on anything. It’s not like you had some winners and some … Read More

In his recent Q4 2022 Letter, David Einhorn explained how he benefited by shorting so called ‘innovation’ stocks. Here’s an excerpt from the letter: We are nothing if not persistent. In March of 2021, we again believed that the bubble had popped… this time correctly. We created our third bubble … Read More