Chanos sees downturn in hard disk drive industry
NEW YORK May 8 (Reuters) - James Chanos, founder and managing partner of short-selling firm Kynikos Associates L.P., said Wednesday that hard-disk drive companies are likely to decline.
Chanos, noted for predicting the downfall of Enron and a vocal bear on the Chinese economy, said at the Sohn Investment Conference that the hard disk drive business is a "value trap" that is nearing a downturn similar to that of the personal computer business. As examples he cited Seagate Technology and Western Digital Corp.
Western Digital was down 2.5 percent in after-hours trading, while Seagate Technology lost 3.4 percent.
We are living longer but not creating financial plans to keep pace. Advisers give tips on how to make sure you don’t outlive your money. Video