Why EnerNOC's Shares Plunged 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 EnerNOC (NASDAQ: ENOC  ) dropped as much as 20% today after the stock was downgraded by an analyst.

So what: Credit Suisse was the culprit today, downgrading the stock from outperform to neutral. For a bit of perspective, the stock was upgraded by Pacific Crest, downgraded by Zacks, and had its price target increased from $17 to $18.50 by JPMorgan all in the month of May.  

Now what: If you need a reason why we at The Motley Fool don't take analyst upgrades and downgrades very seriously, then EnerNOC's price action today is exhibit No. 1. Is the company really worth nearly $100 million less today than it was yesterday? Not to a long-term investor, so I don't think today's move changes the investment thesis, and if you're bullish (which I'm not) this should be viewed as a discount more than a reason to panic today.

Interested in more info on EnerNOC? Add it to your watchlist by clicking here.

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