David Einhorn’s Greenlight Capital poured money into PG&E and other consumer stocks in the third quarter, while also cutting back on some of its exposure to technology. The hedge fund manager added nearly $100 million worth of stake in California-based utility company PG&E in the three months ended Sept. 30, making it the hedge fund’s seventh-largest holding, according to Insider Score. Einhorn jumped into PG&E, which has rebounded after selling 31% in the first half of the year in the wake of January’s Los Angeles-area wildfires. The stock rose more than 8% in the third quarter and has risen another 9% since the end of September. PCG YTD Mountain PG&E, Year-to-date The 56-year-old investor also opened a position worth just under $25 million in United Parks & Resorts. The owner of SeaWorld and Busch Gardens has returned more than 38% so far in the fourth quarter, wiping out nearly 10% of profits in the third quarter. Mr. Einhorn kept his position in Green Brick Partners, the largest position in the fund he serves on the board of directors, unchanged in the third quarter, at a value of just under $700 million. He added more than 44% to Fluor, making the engineer and contractor the second-largest holding in Greenlight’s portfolio, according to InsiderScore. Greenlight also raised its stakes in Kindril Holdings and Victoria’s Secret by more than 31% and 117%, respectively, during the quarter. Mr. Einhorn has cut positions at HP Inc. and GoPro. Outside of technology, the Cornell University graduate cut his exposure to Capri Holdings and CNH Industrial, while unwinding his investment in Tech Resources. Einhorn is increasingly skeptical of the current bull market. In a letter to investors obtained by CNBC earlier this year, he cited the rally in crypto tokens as evidence that speculation has ballooned beyond reasonable levels. “We have reached the ‘fatcoin’ stage of the market cycle,” Einhorn wrote. “Other than trading and speculation, there is no apparent purpose, and no need is met that is not served elsewhere.”
