Icahn Enterprises LP shares ended 20% lower Tuesday, notching their worst one-day decline on record, after short seller Hindenburg Research issued a negative report against the investment arm of activist investor Carl Icahn.
The stock’s previous one-day record decline was a loss of 19.5% on Nov. 20, 2008. The market-cap loss today is about $4 billion. Tuesday’s close was also the lowest for the stock since March 23, 2020, when it closed at $36.05.
In the report, called “Icahn Enterprises: The corporate raider throwing stones from his glass house,” Nate Anderson–backed Hindenburg said IEP trades at a 218% premium over its last reported net asset value, or NAV, which it said is far higher than comparable funds.
Source: Icahn calls Hindenburg short-seller report self-serving, as market value of his company’s stock plunges by $4 billion – MarketWatch