Tuesday, August 16, 2016

Fidelity selling Herbalife stock is a good sign

In a recent SEC filing Fidelity Investments, the second largest investor in Herbalife, said it had cut its stake in the firm to 7.4 million shares, a 14 percent reduction from the 8.6 million shares it reported owning at the end of June.

“The fact that Fidelity is selling is a good sign. There is no longer a bull case to be made for this stock” said Bill Ackman, who has a $1 billion bet that Herbalife’s stock would collapse.