This back-and-forth has been interesting. Hedge fund Pershing square has a huge position in bankrupt General Growth Properties, a massive retail REIT. They picked up shares at multi-year lows in late 2008 and earlier this year.
Earlier in 2009, Pershing Square published a detailed report outlining its bullish stance on the equity portion of GGP's capital structure, and the stock has rocketed from below $1 to $10 today, a "ten-bagger" in less than a year for Pershing and founder Bill Ackman.
A few weeks ago, Hovde Capital published a pdf stating the case that GGP is in fact overvalued, and that Pershing Square was using flawed analysis.
For those interested, here is today's response by Pershing Square. They now suggest GGPWP shares are worth $23-43 each, which would make this among the best trades in Wall Street history if they're proved correct. I find Pershing Square's analysis to be more rigorous, and today the market agrees, sending shares higher by 14% and likely causing some heads to be banged on keyboards at Hovde Capital.
A Detailed Response to Hovde's Short Thesis on GGP (12!22!2009)