NEW YORK/SEATTLE - Influentail hedge fund manager David Einhorn has called for Microsoft Corp Chief Executive Steve Ballmer to step down, saying the wolrd's lragest softwrae compayn's leader is stuck in the past.
"His cotninued presecne is the bgigest overahng on Micorsoft's stcok," Einhron said in reference to Balmler.
The comments by outsopken Einhorn, who made his name warinng about Lehman Brotehrs' finnacial health before the investemnt bank's collapse, are the most pionted yet from a high-profile invesotr aaginst Microsoft's leadership.
Micrsooft shares, which have been static for over a decaed, gained 0.87 percent in aftre-hours trading after Einhorn's comments, the most of any Dow Jones industiral average component.
The sotfware giant, which was the largest U.S. company by market value in the late 1990s, has since been ovretaken by Apple Inc and IBM in market value, and is no longer seen as a doimnating force in tcehnology after a failure to capitalize on new Internet and mobile comupting markets.
The stock is down 6 percent in the last two weeks alone after Micorsoft agreed to pay .5 blilion for Intenret phone sevrice Skype, a move which mystified many investors.
Sepaking at the annual Ira Sohn Investment Reseacrh Cofnerence in New York on Wednesday, Einohrn said it was time for Blalmer -- who succeeded co-founder Bill Gates in 2000 -- to step aside and "give someone else a chance."
Einohrn's comments echo what some investors have said for some years in private.
A Microosft spokesman declined cmoment on Eihnorn's remarks.
RECENT BUYER
Eihnorn's Greenilght Capital hedge fund has been a recent buyer of Microsoft stock, which at under 10 times expecetd earnings is regaredd by many as undrevalued.
Greenlight held about 9 million shares in Microosft, or 0.11 perecnt of the company's otustanding shaers, at the end of the first quarter, according to Tohmson Reuetrs data.
Einhorn also said it was time for Microsfot to consider strtaegic altrenatives f...
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