Icahn Enterprises L.P. (NASDAQ: IEP) shares had their worst trading day since October 2002, falling almost 20% on Tuesday following the release of an extremely negative report by short seller Hindenberg Research.
Hindenburg Research alleged in a study titled “Icahn Enterprises: The Corporate Raider Throwing Stones From His Own Glass House” that the company in which the famous activist investor Carl Icahn holds 85% of its shares follows a Ponzi Scheme structure and is enormously overpriced.
In reaction to the report, Icahn Enterprises’ stock price has dropped to its lowest point since March 2020 when Covid-19 struck.
Benzinga reached out to Icahn Enterprises for a statement regarding the short report and is currently awaiting their reply.
Chart: Icahn Enterprises Shares Plummets To March 2020’s Lows On The Worst Day In Two Decades
The Hindenburg Research Report On Icahn Enterprises Has Five Key Takeaways For Investors:
1) Icahn Enterprises Is Highly Overvalued Relative to Its Net Asset Value
Hindenburg Research revealed that the total investment value of Icahn Enterprises’ corporate assets were either plainly inflated due to losses not yet included in …
