Is My Nose Bleeding? I Just Got “Einhorned”: CIGNA Corporation (CI), Ventas, Inc. (VTR), Herbalife Ltd. (HLF)

Page 1 of 2

“I could tell that my parents hated me. My bath toys were a toaster and a radio.” – Rodney Dangerfield

My name will never be used as a verb. First off, it’s much too difficult for most people to even attempt to pronounce. Looking at it, do you Americanize it? Do you go old school French-Canadian? What’s the proper tense? I’m at peace with it. Believe me, it’s quite alright.

October of last year, Greenlight Capital President and founder, David Einhorn presented his stock findings with a slick, well thought out PowerPoint display, cool music, but no fog machines. The Wall Street wizard offered some light fare prior to naming names, even joking about his own being utilized as a verb when referencing certain stocks. “Herbalife Ltd. (NYSE:HLF) got Einhorned,” which actually sounds like it could leave a nasty scar, what with the “horn” delicately placed within his surname.

Herbalife Ltd. (NYSE:HLF)One of the stock mentions I found rather interesting from the Fonz of hedge fund managers, was CIGNA Corporation (NYSE:CI), which probably covered most of those who signed the Declaration of Independence.  To be unflinchingly honest, I never gave the company a second look until it was mentioned rather favorably by Einhorn. In light of the Supreme Court upholding the Affordable Care Act, everyone had some opinion on the healthcare sector, even yours truly.

I mentioned Ventas, Inc. (NYSE:VTR), prior to Einhorn’s stock laser show, and being a meat-eating, red-blooded, all-American male; I thought it would be a rather fun endeavor to embark on my own little fantasy stock steel cage match, since the timing was so fresh with our mentions. Also being a man of my word, I announced to my faithful following (all 15 of you), that I would keep everyone posted on this most public, potentially embarrassing stage, our own unforgiving Internet. Following a respectable showing in 2012 (up 16%), Ventas is already steadily moving ahead year-to-date, up about 2%. About a dollar under their 52-week high ($54-$68), I think the performance will continue the slow grind upward this year and beyond, breaking through the $68 ceiling a few times along the way. As I mentioned when I accepted my own challenge, Ventas clobbers Cigna when it comes to the trusty dividend, doling out 62-cents per share each quarter ($2.48 annually), for a healthy 3.7% yield. Compared to Cigna’s anemic, 0.1% dividend yield, paid in the form of 4 shiny pennies once a year for each loyally held share of stock, Ventas wins that battle.

Cigna had a very nice run in 2012, with the stock picking up over 23% in gains (almost 20% since Einhorn’s mention, though), and currently rides that momentum into 2013, up over 6% year-to-date. The company is nipping at the heels of their 52-week high ($39-$59), and will most likely pierce that number this year, but I expect it to gradually slow down, especially if Einhorn looks elsewhere for more substantial gains.

Page 1 of 2
blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The 10 Countries with the Highest Suicide Rates

The 10 Most Technologically Advanced Countries in the World

The 10 Safest Countries in the World to Live in Peace

The 10 Top Selling Smartphones in the World 2014

The 12 Biggest Shopping Centers in the World

The 10 Friendliest Countries in the World

Qihoo 360 Technology Co Ltd (QIHU), Actavis plc (ACT), Yahoo! Inc. (YHOO) Among 20 Long Ideas from Sohn Canada

The 10 Laziest Countries in the World

The 10 Most Polluted Countries in the World

The 10 Most Dangerous Cities in America 2014

The Top 10 Gold Producing Countries in the World

The 10 Tallest Buildings in the World

The 10 Richest Stand Up Comedians in the World

The 10 Fattest Countries in the World

The 5 Best Summer Jobs for Teens

The 10 Most Religious Countries in the World Keeping the Faith

The 10 Most Educated Countries in the World

The 10 Most Popular Cell Phones in the World

The 10 Drunkest Countries in the World

The 10 Most Expensive Private Schools in the World

The 10 Smallest Countries in the World

Walking Dead Season 5 Spoilers You’ll Wish You Didn’t Know

The 10 Poorest Countries in the World

The 10 Greenest Countries in the World

The Top 10 Countries with the Highest Population in the World

The 10 Most Visited Countries in the World

The Top 10 Star Wars Characters in the Iconic Series

The 10 Most Expensive Android Phones in the World

5 Reasons Why The Illuminati Is Real and a Threat to Society

The 6 Scariest Halloween Costumes Ever Screamed At

The 4 Biggest Hedge Fund Managers in the World Today

The 15 Most Densely Populated Countries in the World

The 10 Biggest Tea Drinking Countries in the World

Top 6 Ways to Improve Your Checkout Process and Close Sales

The 5 Most Profitable Online Businesses You Can Start Today

The 20 Most Profitable Hospitals in the US

The 5 Most Profitable Home Businesses to Start

The 7 Teams that Will Win the Stanley Cup in 2015

The Top 10 Most Expensive Digital Cameras to Snap Stunning Shots With

The 10 Highest Quality Fast Food Restaurants In America Today

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

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!