November 15, 2012
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 casino operator Caesars Entertainment (Nasdaq: CZR ) jumped 10% today, when the company announced a new CFO.
So what: The company appointed Donald Colvin, an executive from Nevada utility NV Energy, as its new CFO and executive vice president. Seriously, that's all that happened.
Now what: There's no reason to buy Caesars on this news, unless Colvin has a way to rid the company of $20 billion of debt. What may be lost in the jump later in the day is that Caesars hit an all-time low early in the day today, showing how little confidence investors have in the long-term trajectory of the company. I'm definitely not a buyer here, and certainly don't think a new CFO changes the investment thesis in Caesars.
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