One of David Einhorn’s highest-profile bets has turned against him.
Mr. Einhorn, the hedge fund manager who runs Greenlight Capital, had a setback in his short-selling position in Green Mountain Coffee Roasters, as the stock rose during the fourth quarter, he said Tuesday in a letter to investors. The stock’s 74 percent climb wiped out the position’s 2012 profits, Mr. Einhorn said.
It was a rough three months for Greenlight over all, as a 4.9 percent loss during the quarter pared the yearly performance down to a gain of 7.9 percent. Still, Mr. Einhorn said, the firm is largely sticking with its strategy.