Hedge Fund Legend Called Amazon, Netflix, and Tesla a "Bubble Basket" and Shorted Them All. His Fund Lost 34%.

David Einhorn was one of Wall Street's most celebrated short sellers — the man who called Lehman Brothers' collapse months before it happened. So when he announced he was shorting Amazon, Netflix, and Tesla as a "bubble basket" in 2017, people listened. He even compared his Tesla short to his legendary Lehman call. Slight problem: Lehman went to zero. Since Einhorn's bubble basket declaration, Amazon is up over 300%, Netflix is up over 400%, and Tesla is up over 900%. His fund posted its worst year ever in 2018, down 34% while the S&P 500 dropped just 7%. In a letter to investors, he admitted: "We didn't get it then and, truthfully, we don't really get it now." At least he's honest.