Photo: AP Images
Closely-followed hedge fund manager John Paulson, the founder of Paulson & Co., is making a rare public appearance at the 17th annual Ira Sohn Investment Conference in New York today. Paulson, who famously bet against the subprime housing market, likes Caesars Entertainment Corp, an owner of casinos.
The famed hedge fund manager says the company’s earnings are set to grow as sector recovers, according to Clusterstock reporters Linette Lopez and Lisa Du.
The reason, he explained, is holding company has lots of cash on hand. Caesars also owns the hotels and also a social gaming platform called The Tick Up.
“I like hotels because rates increase with inflation,” Paulson told the audience.
Paulson’s second big investment idea is AngloGold Ashanti because he thinks it’s really cheap to buy right now.
What’s more is he explained from an operations standpoint, the company is very strong. Today it is trading at the lowest evaluation in last 10 years, at 4.4x EBIDTA and a little under 9x earnings, he added.
During a volatile 2011, Paulson’s hedge fund suffered massive losses.
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