Why Icahn Enterprises Stock Dipped (Again) This Week
Shares of Icahn Enterprises (NASDAQ: IEP) continued to sink this week, down as much as 13.2%, according to data provided by S&P Global Market Intelligence. The public investment vehicle for legendary activist investor Carl Icahn continues to get battered after Hindenburg Research released a scathing short-seller's report on the stock earlier this year.
As of this writing, shares of Icahn Enterprises have a total return of negative 42% in the last five years, significantly underperforming the S&P 500 over that time.
The original short report from Hindenburg claimed that Icahn Enterprises was using a "ponzi-like" structure to pay out its high dividend yield, which was propping up its shares. The short-seller claimed that Icahn would have to eliminate this dividend, which would send the stock price cratering.
Source Fool.com
