Einhorn Says Don’t Be Fooled by Companies Beating Estimates
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Hedge-fund manager David Einhorn cautioned against betting on the extension of a U.S. stock-market rally that he said was fueled by conditions that are difficult to sustain.
The Standard & Poor’s 500 Index surged 30 percent last year. The rally strengthened in the fourth quarter as 74 percent of companies beat analysts’ estimates during the earnings season that ended in November. The equity benchmark has fallen 1.1 percent this year.