Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of tanker operator Frontline
So what: Competitor Nordic American Tanker Shipping's
Now what: This looks like a bit of a dead cat bounce for Frontline following some mildly bullish news from a competitor. Frontline's shares have been in a freefall for six months and investors are jumping back in hoping that Nordic American Tanker Shipping is right and a rebound in demand is around the corner.
I would be cautious buying here. A falling stock is almost impossible to catch at the bottom and with $2.4 billion in long-term liabilities and losses mounting, Frontline isn't exactly on solid footing right now.
Interested in more info on Frontline? Add it to your watchlist.