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“Once the overhang of the war is done — and it sounds like we’re also potentially heading in the right direction with Russia-Ukraine — energy prices could come way down, and obviously that would be very good for inflation and markets,” Ackman told CNBC’s “Money Movers” on Thursday. “We’re going to have an amazing 2027.”
Ackman who called the Iran conflict an “extremely well-executed war,” believes that once there’s peace in the Middle East, it will great for the region and “ultimately great for the United States.”
Higher crude prices have pressured stocks all year, as traders fear elevated energy costs will drive up inflation and force the Federal Reserve to raise rates. U.S. oil is up 72% in 2026, while Brent crude has surged 83%.
WTI in 2026
Rising oil appears to have trickled down to consumer prices. Gasoline prices accounted for half of the increase in the latest consumer price index report. Inflation has been stubborn, moving away from the Federal Reserve’s 2% target. Consumer prices rose 3.7% year over year in September.
Higher prices put the Fed in a bind to keep interest rates elevated to tame inflation.
Cheap Netflix
Ackman also discussed individual long-term stock opportunities on his radar.
The hedge fund manager said he viewed Netflix’s earnings favorably. The streaming stock dropped more than 5% on Wednesday after reporting lackluster advertising and revenue guidance. On Thursday, however, they bounced more than 3%.
Ackman said that any concerns around Netflix’s content library are overblown when considering the strength of its management team and its engagement with users. He added that the stock is currently trading at 18 times earnings, “one of the lowest valuations in history,” and expected to post earnings growth in the mid to high teens for the foreseeable future.
“Netflix is a high growth utility,” he said.
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