Green Mountain Coffee Roasters
Speaking at the Value Investing Congress in New York City on October 17, 2011, Einhorn publicly announced his short position in Green Mountain Coffee Roasters stock. Prior to that date, the company's share price had increased more than tenfold since March of 2009, the third-biggest gain in the Standard & Poor's Midcap 400 Index. In his presentation Einhorn opined that the market for Green Mountain's new Keurig single-cup coffee brewer was "limited," and that the K-Cup coffee pods for the machine presented a "looming patent issue" for the company. He also said that Green Mountain had a "litany of accounting questions." Following Einhorn's speech Green Mountain's share price fell by 10 percent, closing that day at $82.50.
A few weeks later on November 9, 2011, Green Mountain's quarterly report missed analyst expectations and its stock price plunged to $43.71. The company's CEO Lawrence J. Blanford cited a "number of factors including changes in wholesale customer ordering patterns in our grocery and club channels" for the underperformance of the company.
Read more about this topic: David Einhorn (hedge Fund Manager)
Famous quotes containing the words green, mountain and/or coffee:
“Thou hast conquered, O pale Galilean; the world has grown grey from thy breath;
We have drunken of things Lethean; and fed on the fullness of death.
Laurel is green for a season, and love is sweet for a day;
But love grows bitter with treason, and laurel outlives not May.
Sleep, shall we sleep after all? for the world is not sweet in the
end;
For the old faiths loosen and fall, the new years ruin and rend.”
—A.C. (Algernon Charles)
“A few hours’ mountain climbing turns a rogue and a saint into two roughly equal creatures. Weariness is the shortest path to equality and fraternity—and liberty is finally added by sleep.”
—Friedrich Nietzsche (1844–1900)
“you who put gum in my coffee cup
and worms in my Jell-O, you who let me pretend
you were daddy of the poets, witchman, you stand
for all, for all the bad dead, a Salvation Army Band
who plays for no one. I am cement. The bird in me is blind
as I knife out your name and all your dead kind.”
—Anne Sexton (1928–1974)