This is a follow up article about what renowned hedge fund manager David Einhorn traded in the fourth quarter. He sold out his positions in African Barrick Gold, Foster Wheeler, Lanxess, and Rheinmetall AG.
The information came from Greenlight Capital Q4 Letter. We have reviewed his top positions and new purchases. You can check the details of his portfolios here. This portfolio was from Q3. The detailed A4 portfolio will be released in about 3 weeks.
These are the details of the companies he sold in Q4:
African Barrick Gold
African Barrick Gold plc engages in the exploration and production of gold properties principally in Tanzania. Einhorn made a small profit on it. Apparently he is not optimistic of the company’s operations. He says that the spin-off ran into severe operating problems. Only the rising price of gold prevented a worse outcome.
Barrick Gold is in the portfolios of a number of gurus we track, including hedge funds Duquesne Capital, Eton Park Capital, Caxton Associates, Paulson & Co., and mutual fund firm First Eagle Investment Management. First Eagle Investment Management uses gold as an long term insurance to their portfolio.
Foster Wheeler (FWLT, Financial)
David Einhorn sold out his position of Foster Wheeler at a small loss. His average cost is $26.25. He sold at $24.25. He commented that the stock was inexpensive on mid-cycle earnings. But he got tired of waiting for mid-cycle. In addition the unexpected CEO Departure was causing his concerns.
Mr. Einhorn might wish he were slightly more patient. Immediately after he sold off in Oct., the stock price took off. Now the stock is traded at around $38. He missed a gain of more than 50%.
Have we heard that we need to be patient with value investing, Mr. Einhorn!
Foster Wheeler AG, formerly Foster Wheeler Limited, along with its subsidiaries provide construction and engineering services to the oil and gas, oil refining, chemical/petrochemical, pharmaceutical, environmental, and power plant operation and maintenance sectors worldwide. Foster Whelr Ag has a market cap of $4.6 billion; its shares were traded at around $38 with a P/E ratio of 17.6 and P/S ratio of 0.9.
Foster Wheeler is in the portfolios of hedge fund traders of Renaissance Technologies LLC and SAC Capital Advisors.
This is the holding history of David Einhorn with Foster Wheeler:
Lanxess
Mr. Einhorn more than doubled his money with Lanxess, he said this is the second most profitable investment he ever made. He made money by trading in and out of the stock. He got in twice at low teens and sold at 40s (in Euro).
Lanxess AG is a Germany-based chemical company. It is also traded in the pink sheet market with the symbol of LNXSF.PK. The stock is in the portfolio of David Williams of Columbia Value and Restructuring Fund.
The information came from Greenlight Capital Q4 Letter. We have reviewed his top positions and new purchases. You can check the details of his portfolios here. This portfolio was from Q3. The detailed A4 portfolio will be released in about 3 weeks.
These are the details of the companies he sold in Q4:
African Barrick Gold
African Barrick Gold plc engages in the exploration and production of gold properties principally in Tanzania. Einhorn made a small profit on it. Apparently he is not optimistic of the company’s operations. He says that the spin-off ran into severe operating problems. Only the rising price of gold prevented a worse outcome.
Barrick Gold is in the portfolios of a number of gurus we track, including hedge funds Duquesne Capital, Eton Park Capital, Caxton Associates, Paulson & Co., and mutual fund firm First Eagle Investment Management. First Eagle Investment Management uses gold as an long term insurance to their portfolio.
Foster Wheeler (FWLT, Financial)
David Einhorn sold out his position of Foster Wheeler at a small loss. His average cost is $26.25. He sold at $24.25. He commented that the stock was inexpensive on mid-cycle earnings. But he got tired of waiting for mid-cycle. In addition the unexpected CEO Departure was causing his concerns.
Mr. Einhorn might wish he were slightly more patient. Immediately after he sold off in Oct., the stock price took off. Now the stock is traded at around $38. He missed a gain of more than 50%.
Have we heard that we need to be patient with value investing, Mr. Einhorn!
Foster Wheeler AG, formerly Foster Wheeler Limited, along with its subsidiaries provide construction and engineering services to the oil and gas, oil refining, chemical/petrochemical, pharmaceutical, environmental, and power plant operation and maintenance sectors worldwide. Foster Whelr Ag has a market cap of $4.6 billion; its shares were traded at around $38 with a P/E ratio of 17.6 and P/S ratio of 0.9.
Foster Wheeler is in the portfolios of hedge fund traders of Renaissance Technologies LLC and SAC Capital Advisors.
This is the holding history of David Einhorn with Foster Wheeler:
Lanxess
Mr. Einhorn more than doubled his money with Lanxess, he said this is the second most profitable investment he ever made. He made money by trading in and out of the stock. He got in twice at low teens and sold at 40s (in Euro).
Lanxess AG is a Germany-based chemical company. It is also traded in the pink sheet market with the symbol of LNXSF.PK. The stock is in the portfolio of David Williams of Columbia Value and Restructuring Fund.
