Icahn Enterprises saw its shares fall drastically following a short call from Hindenburg Research, which accused the company of having an inflated value by up to 75%.
Founder Carl Icahn is known for his activism and corporate battles, such as with Herbalife and Illumina.
- Icahn replied that the business' performance would "speak for itself over the long term."
- Hindenburg
questioned the dividend yield and recent financing of Icahn
Enterprises, describing it as having a "Ponzi-like" structure.
- The report called Jefferies Financial Group the only big investment bank to publish research coverage on Icahn Enterprises.
- Hindenburg-targeted companies saw an average decline of 15% the day after a critical report surfaced and 26% six months later.
