Last week I sent a Flash Alert advising you to sell Green Mountain Coffee Roasters (NASDAQ:GMCR) on its coming “dead cat bounce

.” And sure enough shares climbed nearly 8% before pulling back—this was the short-term rebound that I recommended you sell into.

To recap, the company announced disappointing quarterly earnings. While sales rose 37.3% to $885.1 million and earnings rose 31.8% to $93 million or 58 cents per share, the analyst community was expecting sales of $972 million and operating earnings of 64 cents per share, so the company posted in-line earnings and an 8.9% miss on sales.

More importantly, the company didn’t have good news for investors looking forward—Green Mountain cut its fiscal 2012 outlook following slowing sales of its K-Cup portion packs and Keurig coffee brewers.

The company now expects operating earnings of $2.40 per share to $2.50 per share for 2012, down from its previous guidance of $2.55 per share to $2.65 per share.

So although Green Mountain is still a growing company, Wall Street’s obsession with hedge fund manager David Einhorn, who has recently attacked the company’s accounting and transparency, has weighed on shares, and this earnings miss was the straw that broke the camel’s back.

I despise short-sellers like Einhorn who like to blow everything out of proportion and manipulate markets. And while it is never easy to sell a stock like this after a big loss, the fact is that there are better opportunities right now for our capital.