DoubleLine's Gundlach says Chipotle a 'good short'
April 11 (Reuters) - Jeffrey Gundlach, chief investment officer and chief executive of the $56 billion DoubleLine Capital LP, said on Thursday that his latest investment idea is a "short" bet against the shares of Chipotle Mexican Grill .
"I was going to save this for the upcoming Ira Sohn (conference) ... but I think a good short is Chipotle," Gundlach said at DoubleLine's annual luncheon at the Yacht Club in New York on Thursday. "Gourmet burrito is an oxymoron."
A year ago at the same investor luncheon, Gundlach told an audience that he was shorting the stock of Apple Inc at $610 and correctly predicted that the Apple stock price would fall to $425.
Chipotle shares are down 2.6 percent in the wake of the Gundlach investment call. Gundlach declined to provide any further detail on Chipotle shares.
Late last year, hedge-fund manager David Einhorn said his latest short idea was Chipotle, calling the fast-food chain's shares overvalued. Einhorn outlined the bearish case for the company, arguing that Chipotle's business was vulnerable to competition.
- Malaysia air probe finds scant evidence of attack: sources |
- Search widened as Malaysia air probe finds scant evidence of attack |
- Confrontation in Ukraine as diplomacy stalls |
- Exclusive: Chinese raw materials also found on U.S. B-1 bomber, F-16 jets
- Freescale loss in Malaysia tragedy leads to travel policy questions