This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

'Fast Money' Recap: What Does Carl Icahn Think?

NEW YORK (TheStreet) -- The S&P 500 closed higher by 0.42% Wednesday. On CNBC's "Fast Money" TV show, the focus was on hedge fund manager Carl Icahn, interviewed during CNBC's Delivering Alpha conference. 

Icahn gave his thoughts on a number of different situations, starting with the stock market and the impact of the Federal Reserve. "I'm nervous," Icahn explained. The Fed continues to pump money into the markets while the economy remains decent but not great. If Janet Yellen is unsure of the outcome, how can any other market participant have a clue? he asked. 

Icahn, who has a long position in Family Dollar (FDO), said there are "good synergies" in the company, but not with its management. The CEO of Family Dollar should be fired, he argued. 

Icahn thinks corporate management in general is "mediocre." "What a board should be doing is the opposite of what they do," which is micromanage, he explained. Instead, boards should be focused on finding a capable CEO to run their companies unless board members have extensive knowledge that can benefit their companies. 

Also at the conference was hedge fund manager -- and one-time foe of Icahn's -- Bill Ackman, who agreed that corporate board members should not micromanage the CEO and other management. However, he said the board can be extremely valuable in financing deals or other complex situations as well as mergers and acquisitions. 

Ackman called index funds "an ideal product, a great way for people to invest money very cost-effectively." However, index fund managers are not going to approach company management with more effective strategies and other activist suggestions. 

Activists are entrepreneurs, he said, before discussing Valeant Pharmaceutical's (VRX) bid for Allergan (AGN). Ackman teamed up with Valeant in an attempt to facilitate a takeover of Allergan. The board continues to reject Valeant's bid, although Valeant is offering to pay a handsome premium and is willing to pay even more, he said. 

Allergan's board has accused Valeant of accounting fraud, Ackman said. He said Allergan is making it very hard for shareholders to hold a special meeting about the potential acquisition, a deal that should ultimately "go through," he predicted.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $95.18 1.64%
FB $117.44 -0.95%
GOOG $692.33 -0.84%
TSLA $232.32 -3.92%
YHOO $36.02 -1.40%


Chart of I:DJI
DOW 17,750.91 -140.25 -0.78%
S&P 500 2,063.37 -18.06 -0.87%
NASDAQ 4,763.2240 -54.37 -1.13%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs