Billionaire David Einhorn’s Stock Picks Include Apple Inc. (NASDAQ:AAPL)

Selling Seagate. Seagate Technology PLC (NASDAQ:STX) had been one of Greenlight’s largest positions at the beginning of October but by the end of Q4 it had been trimmed to 8.4 million shares- roughly half of what it had been three months earlier. The $13 billion market cap hard disk drive and data storage company reported a 13% decline in net income in its most recent quarter compared to the same period in the previous fiscal year, despite rising revenue. 11% of the outstanding shares are held short, even at a forward earnings multiple of 6, as the market worries about a company which has such strong exposure to PC demand. Iridian Asset Management, managed by David Cohen and Harold Levy, had owned 4.3 million shares at the end of September after cutting its own stake in half in Q3 2012 (check out Iridian’s stock picks).

Einhorn may be taking profits on Seagate (it has outperformed the market over the last year, and has more than doubled in the last two years) and if anything we think it might be worth looking at as a potential value stock. We’re also interested in health insurance, though it’s worth comparing Cigna and Aetna to their peers particularly if one could be found that is generating organic earnings growth. Apple looks like a good value at 11 times trailing earnings- though, of course, it also looked like a good value at higher prices. Microsoft is a tougher call as there has been quite a bit of skepticism about the reception of Windows 8. It may be best to avoid taking any position until the company begins to report results.

Disclosure: I own no shares of any stocks mentioned in this article.

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

The 10 Most Peaceful Countries in the World

5 Big Reasons Communism Failed

The 15 Most Famous Carl Icahn Quotes

10 Scary Animals that are Actually Harmless

The 8 Most Famous Singer-Actors in Entertainment

The 10 Longest Wars of All Time

The 13 Worst Looking Foods that Taste Great

The 6 Most Gruesome Injuries Suffered During a Sports Match

The 20 Biggest Contracts in MLB History

The 7 Worst Blown Calls in Sports History

7 Free Ways to Advertise Your Business Online

The 18 Best R&B Songs of the 90’s

The 10 Most Dangerous States to be a Cop

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!