Living up to his reputation as a showman, the ringmaster of Athenahealth, Inc (NASDAQ:ATHN), CEO Jonathan Bush, appeared on CNBC this morning and responded to accusations his stock, which had been trading at a much higher multiple of price to earnings than its peers, was a value. Doing this might be somewhat of a challenge since in the interview he said he had no idea of how valuation worked.
Athenahealth CEO says “$1,000” stock price… at some point
“I am absolutely sure Athenahealth, Inc (NASDAQ:ATHN) is a $1,000 per share stock,” Bush said as he boiled over with excitement on the CNBC set. “I have no idea when it gets there,” he later qualified, as the stock traded off its bubble high near $200 a share to exchange hands near $108 in early morning trading. “I don’t know anything about valuations, so for all I know (Einhorn) is right,” Bush later added.