Leon Cooperman, founder of Omega Advisors, said his hedge fund bought shares of Google Inc.
Google will take steps to use its growing cash pile of $60 billion to increase its share price, Cooperman said in a Bloomberg Television interview with Erik Schatzker and Stephanie Ruhle at the SkyBridge Alternatives Conference in Las Vegas on Thursday.
“It’s not particularly productive to sit on all that cash earning zero,” Cooperman said. “Employees own a lot of the stock and generally the competition in Silicon Valley for employees, they want to make money on their options. So I think Google can do a lot to help them make money.”
Google gained 1.3 percent to $530.81 at 11:39 a.m. in New York. The shares have risen 1.1 percent so far this year. The firm is based in Mountain View, California.
Omega said last month that it expects the rally in U.S. equities to continue for more than a year because of global economic expansion and central bank accommodation.
Cooperman told clients in March that his firm was subpoenaed by the U.S. prosecutors and regulators who are seeking information on its trading in certain securities. He founded his New York-based hedge fund in 1991 and manages $9.4 billion.