Billionaire David Einhorn Exercises Caution Going Into Q4, But Remains Bullish On These 5 Stocks

#3 Michael Kors Holdings Ltd (NYSE:KORS)

Shares Owned by Greenlight Capital (as of September 30): 7.04 Million

Value of Holding (as of September 30): $297.53 Million

Moving on to Michael Kors Holdings Ltd (NYSE:KORS), in which Greenlight Capital initiated a stake in the second quarter, the fund nearly doubled that position in the third quarter, purchasing an additional 3.42 million shares. Although shares of the company have had a dramatic decline this year and currently trade down by nearly 48% year-to-date, Greenlight continues to be bullish on the company. In its aforementioned letter the fund said that it believes “KORS has multiple avenues of continued growth, including its international business and footwear.” Since the fund also disclosed in the letter that it bought its stake in Michael Kors Holdings Ltd (NYSE:KORS) at an average price of $45.18 per share, it’s clear that it would be sitting on a paper loss of more than 10% at the moment if it still continues to own the 16.3 million shares that it held at the end of September. On November 4 Michael Kors Holdings Ltd reported EPS of $1.01 on revenue of $1.13 billion for the second quarter of fiscal year 2016, whereas analysts were expecting the company to report EPS of $0.89 on revenue of $1.08 billion, so it was a positive step in the right direction. Ricky Sandler‘s Eminence Capital reduced its stake in Michael Kors Holdings Ltd by 8% to over 4.17 million shares during the July-September period.

#2 General Motors Company (NYSE:GM)

Shares Owned by Greenlight Capital (as of September 30): 16.3 Million

Value of Holding (as of September 30): $489.29 Million

Greenlight Capital increased its stake in General Motors Company (NYSE:GM) by 11% during the third quarter. After remaining flat for much of the first half of the year, the stock of General Motors Company (NYSE:GM) went through a U-shaped correction between July and October and is back to trading flat for the year. Mr. Einhorn continues to be bullish on General Motors Company (NYSE:GM) as well, citing the company’s solid financial results and “stable estimates”. On October 21, General Motors Company reported its third quarter results, declaring EPS of $1.50 on revenue of $38.80 billion, thumping analysts’ expectations of EPS of $1.19 on revenue of $38.61 billion. David Tepper‘s Appaloosa Management LP reduced its stake in General Motors Company (NYSE:GM) by 31% to under 13 million shares during the third quarter.

#1 Apple Inc. (NASDAQ:AAPL)

Shares Owned by Greenlight Capital (as of September 30): 11.22 Million

Value of Holding (as of September 30): $1.24 Billion

Finally, Greenlight Capital reinforced Apple Inc. (NASDAQ:AAPL)’s position as the fund’s largest equity holding by purchasing an additional 3.84 million shares of the company during the third quarter. The stock of Apple Inc. (NASDAQ:AAPL) has had a special affinity with the $120 mark this year, having traded around it for much of the year. The company recently announced that it will be cancelling all Beats Music streaming subscriptions on Nov. 30, merely 18 months after acquiring Beats Music. It was also reported recently that the company might be working on a simple peer-to-peer payment system through which individuals can send money to others via the ‘iMessage’ platform. On November 16 analysts at Stifel Nicolaus reiterated their ‘Buy’ rating and $150 price target on the stock. Famous activist investor Carl Icahn of Icahn Capital LP continued to remain one of the largest shareholders of Apple Inc. at the end of September, with ownership of over 52.76 million shares of the company.

Disclosure: None