GrubHub sinks after Jim Chanos announces short position

Shares of GrubHub (GRUB) are sinking after Jim Chanos, founder of Kynikos Associates, announced on CNBC that he's short the stock. GrubHub is making "almost no money" per order and its drivers outside of the major cities are making only $6-$7 per hour after expenses but don't realize it, the famed short-seller said. Further, GrubHub's take-rates are coming down, Chanos added. When asked if he's also short shares of Uber Technologies, whose Uber Eats competes with GrubHub, Chanos declined to answer but added that he's not positive on any company with a food delivery business. Shares of GrubHub are down 3.5% to $61.56 in midday trading while Uber is down 18c to $34.08. Chanos also discussed his yearslong short position in DaVita (DVA). The dialysis provider is down 3% to $59.34.