David Einhorn Pushes GM Over Dividend

The transcript discusses David Einhorn's investment approach, focusing on his involvement with GM through Greenlight Capital. Einhorn, known for short selling, is not typically an activist investor. His strategy involves issuing common shares and leveraging GM's earnings and dividends to unlock value. However, this approach faces risks, including potential liquidity issues and resistance from rating agencies. Shareholder support is uncertain, as past activist efforts have not always succeeded. The discussion highlights the complexities and challenges of Einhorn's strategy.

What is David Einhorn's typical investment strategy?

What are the potential benefits David Einhorn sees in issuing common shares?

How does David Einhorn's position in GM compare to other shareholders?

What historical context is provided regarding shareholder support for activist demands?

What concerns do rating agencies have regarding the proposed dividend shares?