Here’s Why Greenlight Capital Decided to Dispose its EchoStar (SATS) Shares

Greenlight Capital, an investment management firm, published its first-quarter 2022 investor letter – a copy of which can be downloaded here. The Greenlight Capital funds (the “Partnerships”) returned 4.4%1 in the first quarter of 2022, compared to a 4.6% decline for the S&P 500 index. Try to spend some time taking a look at the fund’s top 5 holdings to be informed about their best picks for 2022.

In its Q1 2022 investor letter, Fiduciary Management Large Cap Equity mentioned EchoStar Corporation (NASDAQ:SATS) and explained its insights for the company. Founded in 1980, EchoStar Corporation (NASDAQ:SATS) is an Englewood, Colorado-based satellite communication and Internet services provider with a $2.1 billion market capitalization. EchoStar Corporation (NASDAQ:SATS)  delivered a -6.41% return since the beginning of the year, while its 12-month returns are up by 3.44%. The stock closed at $24.66 per share on April 21, 2022.

Here is what Fiduciary Management Large Cap Equity has to say about EchoStar Corporation (NASDAQ:SATS) in its Q1 2022 investor letter:

“We exited our long position in EchoStar after holding it for a year with a 22% IRR. We became concerned that the company is having trouble growing subscribers. We also sold Jack in the Box after almost 2 years with a 55% IRR. We became concerned about focus shifting to a recent acquisition and more challenging earnings comparisons going forward.”


Our calculations show that EchoStar Corporation (NASDAQ:SATS) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. EchoStar Corporation (NASDAQ:SATS) was in 29 hedge fund portfolios at the end of the fourth quarter of 2021, compared to 25 funds in the previous quarter. EchoStar Corporation (NASDAQ:SATS) delivered a 2.37% return in the past 3 months.

In March 2022, we published an article that includes EchoStar Corporation (NASDAQ:SATS) in the 9 Stocks to Buy According to Robert W. Koehn’s Ivy Lane Capital. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.

Disclosure: None. This article is originally published at Insider Monkey.