If Xerox folded tomorrow and Carl Icahn lost EVERYTHING he invested in Xerox up to date, you know how much of his total investment portfolio would be lost?
Answer: 2.3%
Out of the 19 companies he is invested in, Xerox ranks #8 on the list in terms of total value. The first 7 investments make up 88% of his portfolio. He probably only cares about the top 5 Investments (which make up 80% of his portfolio)
To provide some context here: With Xerox making up a whopping 2.3% of his investment portfolio, he still owns nearly 11% of Xerox.
Xerox is a MINOR play for him. If it works out, GREAT. But, if he sells off all his Xerox stock tomorrow, I think he'll be ok. Would you be OK if you lost 2.3% of your income? If he took a 50% loss on the stock, he'd lose 1.15% of his portfolio value.
There is a sentiment on this thread hoping that Icahn "fails" with Xerox and "loses all his money". It simply isn't going to happen. Xerox is peanuts.
Icahn thought he could get a QUICK BUCK by getting in on Xerox and then quickly turning around and selling it to HP or Apollo Global Management (Private Equity Firm). Well, both those options fell through. So, he put John V in place to clean up the mess as best he can, but in the long run...Icahn forgot about his Xerox Investment 9 months ago.
How much time would you dedicate to 2.3% of your own personal investment?