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 FuelCell Energy Inc (FCEL -3.59%) jumped as much as 10.8% today after getting an upgrade from an analyst.
So what: Stifel Nicolaus resumed coverage on FuelCell and said they saw positive trends in the industry, as fuel cells are now competitive with renewable energy sources of electricity. They also put a $2.90 price target on the stock, which after today indicates a 19% upside over the next year if the prediction is correct.
Now what: Analyst ratings can often affect stocks short-term, but we should be careful buying on the bump. Remember that FuelCell isn't profitable and has been diluting shareholders regularly over the past few years. Until the company can turn net income positive I'll take a cautious approach and sit on the sidelines.
