Einhorn: No Generalized Stock Market Bubble

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May 6 (Bloomberg) -- On today's "BWest Byte," Cory Johnson looks at Greenlight Capital President David Einhorn's outlook on tech and the markets. Johnson speaks on Bloomberg Television's "Bloomberg West." (Source: Bloomberg)

In l.a. and cory is in the studio.

You just want one number?

The rules never change.

A dozen.

That's not a number.

That's as specific as david einhorn would get earlier when he was asked -- famously in his quarterly letter, he said i'm short a basket of technology stocks because they're greatly overvalued.

They pressed him to give the names and they suggested twitter but the only one he would come with is king digital.

Listen to what he had to say.

I don't think we have a generalized stockmarket bubble, but we have a certain number of stocks that have caught everybody's fancy and attention.

There are good stories behind lovely stocks, but the valuations have gotten out of control.

As you mentioned we're, he believes there is an echo bubble, a smaller bubble than the tech bubble we had before.

What did you make of what david einhorn had to say?

I think they are different stories.

There's the investor looks at a company and says that the crazy valuation.

Then there's the story we cover here in l.a. and san francisco of companies being acquired like facebook buying whatsapp or disney buying maker because these large companies feel like they have to transition and do something quickly and that tries up these prices.

It's possible valuations are out of control, but do the big companies that have to think about their future go out and buy something for a high price tag, does that continue and drive what's happening in the market?

He pointed out they are long a number of tech companies, including apple.

He mentioned micron, apple, marcel, semi conductor companies with reasonable growth, all of them.

I think the reasons matter to non-investors, the big world of business people.

Companies have to make decisions about acquisitions, but we also see companies using things like stock options to reward employers, paying lower salaries.

With twitter, you seen the effect of that, when it takes it down but in the stock looks less valuable.

Cory johnson, jon erlichman,

This text has been automatically generated. It may not be 100% accurate.

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