Markets

'Big Short' Steve Eisman has a long position, too

Key Points
  • Steve Eisman is renowned for shorting stocks, but he's betting long on a Schaumburg, Illinois-based company that provides communications systems for law enforcement and emergency responders.
  • His current short positions include Tesla, Deutsche Bank, and Zillow.
  • Eisman does not see a severe economic downturn looming.
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Steve Eisman, of 'The Big Short' fame, weighs in on the next big short

Steve Eisman, an investor best known for shorting stocks, says he's betting long on Motorola Solutions, a Schaumburg, Illinois-based company that provides communications systems for law enforcement and emergency responders.

"It's a little obscure," he said on CNBC's Fast Money on Tuesday. "What I really like about it is that it has very good management...it's an oligopoly, it's lightly regulated, and its business has gotten better over the last couple of years."

The stock is up more than 47% this year.

The company's customers, which include governments, municipalities, public safety agencies, and first responders, as well as commercial and industrial clients, make it a safe play, Eisman said.

"I don't have to worry about China. I don't have to worry that much about a recession. It's about as idiosyncratic as long as you could imagine," he said.

Eisman is managing director and senior portfolio manager at Neuberger Berman. He's renowned for his bet against the subprime mortgage debt that helped spark the 2008 financial crisis. His story became the basis of Michael Lewis' book, "The Big Short," which also became a movie.

Eisman told CNBC he doesn't see looming economic issues beyond the global industrial recession, which he says is not the same thing as a recession.

These days his short positions include Tesla, Deutsche Bank, and Zillow, which he calls "the most flawed business model he's ever seen."