5 Stocks Billionaire David Einhorn Just Bought and Sold

3. Kyndryl Holdings, Inc. (NYSE:KD)

Stake Value: $84,380,702

IT infrastructure company Kyndryl Holdings, Inc. (NYSE:KD) ranks 3rd in our list of the top stocks billionaire David Einhorn bought during the third quarter of 2023. Greenlight Capital first bought Kyndryl Holdings, Inc. (NYSE:KD) back in the fourth quarter of 2021. During the third quarter of this year the fund increased its stake in the company by 25%, ending the period with an $84 million stake in Kyndryl Holdings, Inc. (NYSE:KD).

Tourlite Capital Management made the following comment about Kyndryl Holdings, Inc. (NYSE:KD) in its Q2 2023 investor letter:

“Kyndryl Holdings, Inc. (NYSE:KD) spun out of IBM in 2021. Spin-offs by nature reflect management’s intention to unlock shareholder value which may present an asymmetric set-up. Kyndryl’s value lies in management’s ability to work through their focused contracts – infrastructure services that, on average, generate 0% gross margin as a result of reckless bundling under IBM. More importantly, management has demonstrated their confidence in doing so by purchasing shares in the open market. Kyndryl’s latest quarter reflects solid progress; gross margins have expanded by over 200 bps sequentially and more than 300 bps year-over-year. Pre-tax margins on recent signings are in the high single digits. We expect both gross and pre-tax margins to expand as post-signings get recognized from Kyndryl’s backlog. Kyndryl continues to present compelling upside.”