Monday, 30 March 2015
Last updated 2 days ago
Oct 23 2013 | 12:35pm ET
Carl Icahn has posted some eye-watering returns on his year-old investment in Netflix Inc.
The billionaire hedge-fund manager has an extra $800 million to play with after cashing out half of his stake in the streaming-video and DVD rental company. His gains on the sold share clock in at an impressive 457%.
"As a hardened veteran of seven bear markets, I have learned that when you are lucky and/or smart enough to have made a total return of 457% in only 14 months, it is time to take some of the chips off the table," Icahn said in a regulatory filing.
Icahn bought a 9.4% stake in Netflix 14 months ago, and still owns a 4.5% stake in the company. He sold some three million shares between Oct. 10 and yesterday.
After the filing, Icahn turned to his favorite mode of communications, Twitter, to offer his thanks to Netflix's management team, led by CEO Reed Hastings, "for a job well done."
"And last but not least, I wish to thank Kevin Spacey," the star of Netflix's hit series, "House of Cards."
Icahn's sale may have come just in time, as Hastings moved yesterday to tamp down on enthusiasm about his company's stock. The CEO said the soaring price was due mainly to investor "euphoria."
"Every time I read a story about Netflix is the highest-appreciating stock on the S&P500, it worries me because that was the exact headline we used to see in 2003," Hastings said during a conference call with analysts. "You can definitely—we have a sense of momentum investors driving the stock price more than we might normally. There's not a lot we can do about it but I wanted to honestly reflect upon that."
Netflix shares sank 4.5% yesterday in the wake of the comments.
Mar 9 2015 | 6:35am ET
As more investors look to diversify, many are beginning to use retirement funds to invest in alternative assets such as private equity and real estate. Kelly Rodriques, CEO & President of PENSCO Trust Company, explains how companies can connect with those looking to use their retirement accounts in a different way. Read more…
Mar 20 2015 | 12:45pm ET
StreetWise Partners, a non-profit organization that works with low-income individuals to help them overcome employment barriers, raised over $275,000 at the 2015 Raising the Ante Charity Poker Tournament and Casino Event last Wednesday evening at Capitale. Here are some photos from the event. Read more…