Don't let it get away!
Keep track of the stocks that matter to you.
Help yourself with the Fool's FREE and easy new watchlist service today.
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 Kindred Healthcare (NYSE: KND ) rose more than 12% in early trading on what seems to be increasing interest in old news. Last week, the company announced a $51 million acquisition of Professional Healthcare, an operator of long-term care facilities throughout the Western U.S.
So what: At the time, Kindred said the deal would be paid for via a combination of organic cash flow and the company's revolving credit facility. Management also predicted the deal would be "slightly accretive" to 2012 earnings in a press release announcing the acquisition.
Now what: None of that really explains today's move, I realize, but it is possible that, sensing synergy, Big Money investors are betting that "slightly accretive" is too conservative a descriptor of the deal's likely impact. Do you agree? Disagree? Please weigh in using the comments box below.
Interested in more info on Kindred Healthcare? Add it to your watchlist.