Einhorn recommended the trade at the Robin Hood Investors Conference, according to a person who attended the event in New York today, who asked not to be identified because the presentation was private and closed to media.
Micron, the largest U.S. maker of memory chips, last month reported fiscal fourth-quarter results that exceeded analysts’ estimates as higher average prices for chips helped make up for lackluster demand for personal computers. Baupost Group LLC added to a stake in Micron in the quarter ended Sept. 30, and Viking Global Investors LP also bought shares in that period, according to regulatory filings. Einhorn’s Greenlight had not disclosed a stake in Micron as of Sept. 30.
Micron rose 4 percent at 11 a.m. in New York trading. The shares have more than tripled this year amid an anticipated increase in chip prices.
Jonathan Gasthalter, a spokesman for Greenlight at Sard Verbinnen & Co., declined to comment.
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