ClaimsBill Ackman

“As consensus estimates for 2020 are only $5.63 per share, 10% below our minimum base estimate, we do not believe that ADP analysts and investors have fully considered the impact of these factors”

Bill Ackman, writing in PSH investor letter 17 May 2018 Pershing Square 1Q18 Investor Letter (Pershing Square Holdings)

Factual Economics and markets

Consensus analyst estimates for ADP's 2020 EPS were $5.63 per share, which the statement described as 10% below its minimum base estimate of about $6.25.

Unresolvable The public record could not settle it.

Factual: Statements about the present or the past, checked against the record: did they hold up?

Said for an organisation they lead or work for; it counts on both records.

What would count as true or false

Judge as of 17 May 2018. True if the published consensus analyst EPS estimate for ADP's fiscal 2020 at about that date was $5.63 (within ±$0.05), and Pershing Square's own stated minimum base-case 2020 EPS estimate was such that $5.63 is about 10% below it (i.e. a minimum estimate of roughly $6.10–$6.40, consistent with the proposition's ~$6.25). Mostly true if the consensus figure was within about ±$0.15 of $5.63 or the gap to Pershing's minimum estimate was roughly 7–13% rather than 10%, with the main point (consensus well below Pershing's minimum estimate) intact. Mixed if consensus was below Pershing's minimum estimate but the figure or gap is off materially (e.g. consensus differs by $0.15–$0.40 or gap under 5% or over 15%). Mostly false if consensus was only marginally below or roughly equal to Pershing's minimum estimate. False if consensus for 2020 was at or above Pershing's minimum base estimate, or the figure differs from $5.63 by more than about $0.40.

Set before the research began.

Reasoning

No evidence with a verified quote was found apart from the claim's own source, so the claim was not judged.

Cite this claim

Bill Ackman, “Consensus analyst estimates for ADP's 2020 EPS were $5.63 per share, which the statement described as 10% below its minimum base estimate of about $6.25.” (said 17 May 2018). Verdict: unresolvable. Reliability API, claim c_c18ef8199338, method 0.1.0+c876030c, dataset release v1.1.2. https://epistacklabs.com/claims/c_c18ef8199338

This claim is in dataset release v1.1.2, with the same verdict.

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