Just taking a further look at the other short positions on the FSA’s spreadsheet. Very interesting reading.
Not that I know squiddly, of course, but some of the positions look decidedly iffy.
For example, I see that Henderson Global have a short on DIA (Dialight). It’s on PE of 23. Highly rated? Sure, but it has a good cash position, with lots of growth and competitive advantages. Just ask Whitney Tilson about shorting those kinds of companies, and see what he says.
Lansdowne Partners is shorting Tesco. Tesco? You’re shorting Tesco? You sure about that? It’s incredibly cheap, and Buffett’s topped up on it earlier this year.
Our old Pace-shorting friend AKO Capital has taken out a short against BBY (Balfour Beatty). It’s on a PE of 8, has a fantastic yield, and seemed like a pretty solid pick by John Kingham earlier this year (who I’m sure is doing very very well out of this share). Seriously, what can these guys be thinking?
Happy and prosperous investing to you all.