Sahm Adrangi Talks the Decline of St. Joe Company

In 2011, Sahm Adrangi garnered significant recognition for his role in shorting several prominent Chinese businesses, while simultaneously exposing them for fraudulent practices. Since that time, Mr. Adrangi’s name has been commonly associated with short-selling, and recently, his company, Kerrisdale Capital, released a report signifying their intentions regarding the Florida-based land development business, St. Joe Company. St. Joe Company was recently valued at $1 billion, with many excitement accruing concerning their plan to further commercialize the Panama Beach area, creating a retirement destination. Despite these prospects, Sahm Adrangi estimates that this over-hyped and over-valued company is, in fact, only worth about 60 percent of the publicized valuation. The gross misevaluation is coupled with a number of other concerns, including that status of their largest shareholder, as well as stagnation regarding the commercial development of the Panama Beach area. While the Panama Beach area has garnered significant hype in recent times, in all actuality, much of St. Joe Company’s real estate that has yet to be commercialized, is located in remote, and often, swampy areas. This significantly reduces the appeal of St. Joe Company for the foreseeable future.

According to Sahm Adrangi, St. Joe Company is also experiencing a number of issues with their largest shareholder, Fairholme Fund. Today, Fairholme Fund holds 22.7 million shares of St. Joe Company, but with the arrival of new regulations presented by the Securities and Exchange Commission, they could be forced to liquidate 10 million shares by the end of the year. In Sahm Adrangi’s estimation, this is a virtual impossibility, particularly considering that there are not enough trading days left in the year to allow this without negatively affecting the price of each share. Bruce Berkowitz, the chairman of the board at St. Joe Company, as well as the fund manager for Fairholme Fund, presents another problem, as his dual role in each company presents a conflict of interest. If he and the two other dual role board members decide to step down in order to forgo any sanctions, the stock price could face a sharp decline.
http://www.worth.com/qa-short-seller-sahm-adrangi/

Insights and Predictions from the Shervin Pishevar 21-Hour Tweetstorm

Once in a while, a business titan will let loose on Twitter and begin to spill his opinions and insights. Recently, one of these Silicon Valley titans went on an incredible 21-hour tweetstorm. That titan, Shervin Pishevar, has created some predictions that has raised millions of eyebrows on the social media platform. Below are the highlights of that infamous 21-hour tweetstorm.

The Dow is Going to Crash

Perhaps the biggest and most shocking prediction from the 21-hour tweetstorm was that the Dow would drop 6,000 points. If this prediction were to come true, then that would cause the biggest crash, in the U.S. market, in over a decade.

Bitcoin Is Going Down, Too

Not one to isolate his doom and gloom to just the major financial markets, Shervin Pishevar also sees a crash coming to the world’s biggest cryptocurrency. In another tweet, Mr. Pishevar predicted that Bitcoin would crash to the $2,000 to $5,000 level. This would mark a 75% to 90% crash from Bitcoin’s $20,000 high from December 2017.

America is Falling Behind in the Global Infrastructure Race

Veering from the financial world, Shervin Pishevar sees America falling behind in the world of infrastructure. The Silicon Valley tycoon points to the fact that China can now build entire railway station in about 9 hours.

California Will No Longer Be the Center of Tech Innovation

One of the most shocking predictions from the Silicon Valley titan was that his hometown will no longer be the center of tech innovation. Instead, Shervin Pishevar believes that start-ups will work remotely and connect with clients and workers online.

America’s Biggest Companies Have Become Too Powerful

Finally, Shervin Pishevar proclaimed that America’s biggest companies have become too powerful. And that these massive firms are stifling start-ups. Mr. Pishevar believes that Uber may be the last start=up to “make it.”

The 21-hour tweet storm were the first public statements from Shervin Pishevar in many months. And the executive’s wild proclamations and predictions have become the talk of Silicon Valley. As the year continues, people will watch to see how many of Mr. Pishevar’s predictions come true.

https://judiciary.house.gov/_files/hearings/pdf/Pishevar%2009142011.pdf