Einhorn vs. Buffett

Discussion in 'Wall St. News' started by nutmeg, May 27, 2010.

  1. I know this is a year old (but it ain't over till it's over re rating agencies) just for the heck of it I googled einhorn/buffett and found this.

    There's a Battle Royale in Moody's (MCO), it appears, after David Einhorn engages on the short side versus Warren Buffet's long position. For those not familiar with David Einhorn, he is a youngish hedge fund manager who exposed Lehman Brothers in a very public way.

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  2. I think I read somewhere that Buffet has actually decreased his position in Moody's not quite a while ago.
  3. That's what I read and I wondered if Buffett is afraid (maybe not the right word but you know what I mean) of Einhorn, one thought led to another.
  4. Daal


    When a buffett fan goes against his master you know he's got to have a pretty darn strong case, my money is on Einhorn
  5. Warren Buffett Forced to Testify Before Financial Crisis Commission

    Berkshire Hathaway is Moody's largest shareholder, although Buffett's company has been reducing those holdings in recent months. Several Moody's executives, including its current CEO, will also be answering questions.

    Fortune's Carol Loomis reports tonight (Thursday) that the Commission had to resort to what Gary Cohen, the FCIC's general counsel, called a "compulsory process" after Buffett turned down several invitations to be questioned.

  6. Yes he has. If he could do so w/o causing a panic and cratering the stock, I believe Buffet would dump every last share. I believe Buffet agrees 100% w/Einhorn, but he owns the place. Instead, rent-seeker that he is, he will use his influence, pull, and bully pulpit to try and preserve the Moody's franchise and some value to his investment (all the while trying to unload it).
  7. Last month, Moody’s disclosed that it received a “Wells notice” from the Securities and Exchange Commission in March, indicating that the commission might file a civil suit against the firm, claiming Moody’s had filed misleading descriptions about how it assigned ratings. Why did you wait almost two months before disclosing the Wells notice?

    ( hmnnn. GS did the same thing)

    On the day Moody’s received the Wells notice, you (Buffett) sold $4.3 million of Moody’s shares through a previously scheduled plan.

    Now there's a coinkydink.

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