Greenlight Capital CEO David Einhorn gave two ideas on Monday at the Robin Hood Investors Conference.
One was a long position — in solar company SunEdison. And the other was a long/short — long Greek banks, short French government debt.
We’ve got the full presentation for you here.
It starts off with Einhorn’s long thesis on SunEdison (slides 1-37). It’s the best performing solar company of the year, and he thinks it can only get better. The stock currently trades at $US19.22 per share but he thinks that it’s worth $US32 per share.
Around slide 38 Einhorn sorts out some of the mess that is Europe, focusing on Greece first. He argues that the worst is behind the country. The hardest decisions about austerity and the country is now “living within its means.” He recommends going long Grek banks — Alpha, Piraeus, NBG and Eurobank.
France, on the other hand, is just starting to look ugly (that starts on slide 67). It’s over-budget, suffers from high unemployment, and needs reform. Once the bond market realises all of that, Einhorn says, it’s time to short French government debt.