Ironically I think Chanos got murdered by the data center boom. Back before his fund folded he was talking constantly about how data center REITs were an awful business by the numbers and they were an artifact of ZIRP because they were making small amounts of revenue on large amounts of capital. Longer term they were slowly losing to market consolidation by the "hyperscalers" (AWS, Azure etc).
His thesis was sound in a rational world but our world isn't rational anymore and his data center REIT short got obliterated by the AI bubble.
You might be surprised. Disney is a pretty good example of activist shareholders undermining the value of their brand for purely ideological reasons. This is a little easier to wrap your head around when you recognize Black Rock-type situation where the custodians of the funds are able to take extraordinary personal liberty with other people’s money.
Jim Chanos legendary short seller talks about AI bubble.
https://www.youtube.com/watch?v=R1HrPsfUkbk
Ironically I think Chanos got murdered by the data center boom. Back before his fund folded he was talking constantly about how data center REITs were an awful business by the numbers and they were an artifact of ZIRP because they were making small amounts of revenue on large amounts of capital. Longer term they were slowly losing to market consolidation by the "hyperscalers" (AWS, Azure etc).
His thesis was sound in a rational world but our world isn't rational anymore and his data center REIT short got obliterated by the AI bubble.
>His thesis was sound in a rational world but our world isn't rational anymore and his data center REIT short got obliterated by the AI bubble.
I suspect he might be a bit bitter about that one. He has also shorted tesla (rightly or wrongly) as well as Carvana
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Most CEOs do what the board wants. And the board usually reflects shareholder primacy.
I'm pretty sure shareholders are not too keen on spotty returns...
You might be surprised. Disney is a pretty good example of activist shareholders undermining the value of their brand for purely ideological reasons. This is a little easier to wrap your head around when you recognize Black Rock-type situation where the custodians of the funds are able to take extraordinary personal liberty with other people’s money.
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Only institutional shareholders matter, and they're on the same page as the CEOs.