Market Overview

The Bill Ackman Trade Isn't Performing Very Well Today

The Bill Ackman Trade Isn't Performing Very Well Today

Two of Bill Ackman’s most highly-publicized investments are having a tough day on Tuesday during a weak session for the market.

Chipotle Mexican Grill, Inc. (NYSE: CMG) shares are down 3.6 percent following a report by M Science that said Chipotle checks indicate ongoing sales weakness for the battered restaurant chain.

M Science suggested that comps have been flattening for Chipotle since June and that the company is still showing no signs of a recovery. Chipotle’s share price remains down 42.3 percent in the past year.

At the same time, Valeant Pharmaceuticals Intl Inc (NYSE: VRX) is another Ackman stock that is struggling on Tuesday, down 3.4 percent. The iShares NASDAQ Biotechnology Index (ETF) (NASDAQ: IBB) is down 4.3 percent on the day. The sector could be demonstrating weakness as Hillary Clinton continues to show momentum in the polls ahead of November’s election.

Clinton has pledged to take on prescription drug pricing if she wins the White House.

Related Link: Economist: The Bull Market Is Far From Over

At least for Ackman’s sake, the weak Tuesday market has dragged down Herbalife Ltd. (NYSE: HLF) by 1.8 percent. Ackman has a large short position in the company and has repeatedly accused the nutrition company of being a pyramid scheme. So far this year, Herbalife is up 15.8 percent.

Posted-In: Bill Ackman Pershing SquareShort Ideas Movers Trading Ideas Best of Benzinga


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