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 network security expert Fortinet
So What: Rumor has it that IBM
Now What: The problem with rumors is that they sometimes become their own undoing. By juicing Fortinet's share price this high, an already-expensive stock suddenly becomes outright overpriced, which may scare IBM or other potential buyers away. Conversely, basing a buyout bid on earlier price levels might not convince shareholders to vote the deal through the acceptance stage. Whether or not you believe in this rumor, selling out now could be the best move available before the other shoe drops.
Interested in more info on Fortinet? Add it to your watchlist.
Fool contributor Anders Bylund holds no position in any of the companies discussed here. The Fool owns shares of IBM. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool is investors writing for investors.