Warren Buffet vs. Carl Icahn
(Chart: 2010 - Apr. 2018)
Icahn Enterprises L.P. (IEP) is a diversified holding company with operating segments in Investment, Automotive, Energy, Gaming, Mining, Railcar, Food Packaging, Metals, Real Estate and Home Fashion. IEP is majority owned and...
...controlled by Carl Icahn.
♦ Over many years, Carl Icahn has contributed most of his businesses to and executed transactions primarily through IEP
♦ As of December 31, 2017, Carl Icahn and his affiliates owned approximately 91.0% of IEP’s outstanding depositary units
Like Berkshire (Warren Buffet's Investment verhicle), Icahn Enterprises is both an investment vehicle and a conglomerate. It is the majority owner of, among other companies, CVR Energy, a refiner and fertilizer producer; and/or Federal-Mogul, an auto-parts supplier. These days, Icahn is often a shareholder's best friend. He buys stakes in underperforming companies and suggests strategies to boost their value.
Icahn is the ultimate contrarian, which may also explain why investors don't mimic his moves as quickly as they do Buffett's. Much of what Icahn buys looks as appetising as roadkill. He bought Forest Labs in May 2012, two months after its top drug, the antidepressant Lexapro, went off patent. He repurchased Chesapeake Energy in May 2012 as natural gas prices crashed and it looked as if the company might drown in debt.