I could not have said it better myself. If anything, David Einhorn has done an excellent job at highlighting the dangers of companies who have made their name as Wall Street sweethearts through pure accounting sham and at the expense of their shareholders. If Einhorn does not ask these questions, then who will? Last I checked, the reason people get burned in the markets is because of a lack of valid questions such as the ones that Einhorn posed.
I have been short on all of Einhorn's calls after he called Lehman for what really happened. It's not hard, after a bit of due diligence, to see that the man makes a valid point from a value investors view on how far accounting wizardry can help shareholders.
I think the only redeeming quality of this investment thesis is a potential fire sale in the case of bankruptcy or an acquisition by one of the big brands.
The Diamond Foods Buyout [View article]
4 Questions For David Einhorn [View article]
I could not have said it better myself. If anything, David Einhorn has done an excellent job at highlighting the dangers of companies who have made their name as Wall Street sweethearts through pure accounting sham and at the expense of their shareholders. If Einhorn does not ask these questions, then who will? Last I checked, the reason people get burned in the markets is because of a lack of valid questions such as the ones that Einhorn posed.
I have been short on all of Einhorn's calls after he called Lehman for what really happened. It's not hard, after a bit of due diligence, to see that the man makes a valid point from a value investors view on how far accounting wizardry can help shareholders.
The Diamond Foods Buyout [View article]
The Diamond Foods Buyout [View article]
The Diamond Foods Buyout [View article]