Should Apple Investors Look to Einhorn for a Bailout?
One of Apple's (NASDAQ: AAPL) most vocal supporters in recent months has been the hedge fund manager David Einhorn. As of its last filing in September, Einhorn's Greenlight Capital had over 12 percent of its money tied up in the Cupertino tech giant.
Back in July, when Apple was trading near $600 per share, Einhorn told CNBC that the company was “very substantially undervalued.”
Einhorn has been a bull on Apple for quite some time, having been invested in the company for years. Einhorn may have closed his position since October, but given his prior statements, it seems unlikely.
For instance, Einhorn stated that he expected Apple to become the first company to achieve a $1 trillion market cap. He called it the “best growth company we have” and characterized its low multiple as “extraordinary.”
At any rate, with Apple down substantially in recent weeks, investors might expect some sort of defense from Einhorn. Over the years, Einhorn has made a name for himself with his public comments, notably recommending investors short Lehman Brothers ahead of the firm's eventual collapse.
Still, Einhorn has stated explicitly that he might shift his Apple holdings. Further, Greenlight has been invested in Apple for years, so even around $500, he's likely made substantial profit on his Apple stake.
A Greenlight spokesman did not immediately respond to a request for comment.
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