Leon Cooperman: Why I Like Facebook [VIDEO]

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their capital structure. and for those statistics, you’re paying about 15 times earnings. we’re looking for companies who are growing in line or more than the market or yield more than the market or sell at a much wer asset value. you can find plenty of attractive ideas. the citicorp and the aig and the metlife, they’re all selling below book value.

Market Thoughts From Leon Cooperman

Leon Cooperman, Omega Advisors, says he does not see any reason for the market to decline a lot.

Transcript:

carl, thanks very much. welcome to the halftime show life from sky bridge conference here in las vegas. on the program today, leon cooperman, michael carson double lines jeffrey gundlock. petehn here to help us navigate. let’s get straight to lee cooperman who continues to beat the market, up double digits already this year after being up 34% gross of fees last year. a man who continues to do it. it’s good to see you. i’m just keeping up with the market, up 15%. all right. so you’re having a good year. it’s been a good run for you certainly of late. how do you feel about the markets, as we sit here at these record levels? we’re a little mixed today, giving a little back on the dow and s&p but how do you feel overall? i think the stock market’s probably a little ahead of itself. by and large think the bull market has more time to run. generally speaking, bear markets are induced by either recessions, terrorist events. i think the economy’s limping along, you know, a couple percent growth rate and given the absence of alternatives, i don’t really see the reason for the market to decline a lot. i really think bernanke has succeeded in getting the market into his own fair valuation. you’ve had guys in the last several weeks, a guy like david teper giving us some comments, short the s&p at yoeril. just given everything that’s out there, global easing effort, money continues to come into the united states in the equity market. well, you know, i have very mixed emotions. when a wiseman does in the beginning, a fool does in the end. i’ve been on your program a few times. my mistakes can be paraded up fifth avenue five abreast. we’ve seen the market. we’ve played it as a classical cycle. what i mean by that, the average bear market’s down about 25%. this one was down 57%. the average economic contraction is a 2% decline. real gdp peak to trough. this one was 4.7. so it’s a sim mitt rickal relationship. this brought in the aggressive monitor response. and we’ve launched an economic recovery. the economic recovery on average lasts about five years. we’re four years into one. we think this economic cycle ought to be longer than average because there’s so much excess capacity within the economy. like i said a moment ago, i think to get the market down a lot, you’re going to need basically a recession. and doesn’t look like it’s playing that way. i think that given the underinvestment that exists, okay, because of the risk, i think one or two things will have to happen to get the market to go down a lot. one would basically be a fear of recession which doesn’t seem to be in the cards. second, the stock market starts to get very frothy, the fed moves away from qe-3 and you have a correction when the fed changes course. all these economists i’ve been meeting out here at salt assured me qe-3 will be with us till the middle of 2014. if that’s right, you have got to stay involved. you think it’s time to get more offensive? the time get more offensive was about three years ago. i repeat, i think — i ask myself every day, what’s unusual about the current cycle. i think

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