David Einhorn’s Real Thoughts on Amazon Inc (AMZN) [Exclusive]

David Einhorn's Real Thoughts on Amazon Inc (AMZN) [Exclusive]


We reached out to Greenlight Capital today about the confusion over what David Einhorn said in regards to Amazon.com, Inc. (NASDAQ:AMZN) at the Ira Sohn Conference yesterday. Einhorn compared the CEO, Jeff Bezos to Batman and we thought that he had negative thoughts on the stock, as he mentioned that revenue has increased but profits have stayed the same. Other media outlets reported that he was bullish on the stock.  They noted that Einhorn mentioned the company has a better business model than traditional retailers, although the company is still difficult to value.

Charlie Munger: Invert And Use “Disconfirming Evidence”

Charlie MungerCharlie Munger is considered to be one of the best investors and thinkers alive today. His thoughts and statements on investment research, investment psychology, and general rational behavior are often incredibly insightful. Anyone can learn something from this billionaire investor and philosopher. Q2 2020 hedge fund letters, conferences and more If you’re looking for value Read More

Greenlight Capital would not comment on the story, stating that what Einhorn said yesterday was the most the firm would reveal.

Below is the summary from BTIG about Amazon, which we think (besides our own of course) is the best description of Einhorn’s words (next time we will record Einhorn speeches, to avoid confusion).

David Einhorn – Greenlight Capital

AMZN is difficult to assess as revenue has increased by $30b but profits have stayed the same. AMZN getting into sports retailing will severely impact Dick’s. 

In the end it remains inconclusive. Einhorn said that the company’s profit margins are not increasing, but they could take business from Dick’s. Einhorn seemed to be much more clear about his bearish views on Dick’s.