BOSTON (Reuters) - Hedge fund manager David Einhorn told investors on Tuesday that his Greenlight Capital lost money on battered retailer Macy's Inc and exited the position roughly six months after getting in.
"We sold Macy's for a loss after the company announced a significant reduction in full-year 2016 guidance," Einhorn said in a letter seen by Reuters. Macy's and Apple
Greenlight sold Macy's at $32.08 a share after having told investors in January that it had bought the stock at $45.69.
(Reporting by Svea Herbst-Bayliss; Editing by Jeffrey Benkoe)
In 1981, David Einhorm is graduated from Cornell University (New York) where he passed with distinction in all subjects. He is the CEO of Greenlight Capital, a hedge fund which he created in 1996 with a million dollar. In 2008, his fortune was estimated about six billion dollars.
Principally short-seller, the fund’s strategy is lucrative, its profitability was around 26% a year since 1996.
The name of David Einhorm is closely related with the short sale. Even if he appears as a long-term investor, David Einhorm is adulated for his hit-and-run offensives and his bear speculations. Best examples are Allied Capital and Lehman Brothers.
In 2002, during a conference fir a charitable institution, organized by Tomorrows Children’s Fund, David Einhorm presents Allied Capital as an opportunity to sell. While a significant number of indications tend to prove this declaration, Allied Capital blows off steam against David Einhorm. During the struggle, David Einhorm is subjected to underhand tricks (SEC investigation on David Einhorm and his wife’s dismissal at Barron’s, stolen phone records…). David Einhorm wrote a book about this affair: “Fooling some of the people all the time”.
In 2007, he spots before anyone else the pitiful situation of the company Lehman Brothers and while others hedge funds do not say anything, he speaks into microphones.
In May 2008, during another charity event, David Einhorm launches a diatribe against the investment bank accused of hiding the truth about its accounts. A few days later, the equity drops and David Einhorm wins $ 1 billion.
When his detractors accuse him of precipitating the death of his prey, he affirms being an activist for financial transparency.
David Einhorm is also the CEO of Greenlight Capital RE Ltd, based in the Cayman Islands, specializing in reinsurance. He is one of the principal shareholders of the company.
| Linked companies | |
|---|---|
Greenlight Capital, Inc.
 Greenlight Capital, Inc. Investment ManagersFinance Greenlight Capital, Inc. is an independent, SEC-registered investment advisor and hedge fund manager headquartered in New York City. The firm was founded by David Einhorn in 1996. Greenlight Capital provides investment advisory services to the Greenlight “Capital Funds”. | Chief Executive Officer |
| GREEN BRICK PARTNERS, INC. | Founder |
