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 beleaguered real estate developer St. Joe Company
So what: St. Joe's stock is flying today thanks to some unsubstantiated buyout rumors. And when I say "unsubstantiated," I mean that with a capital "U" and a double underscore. I found one source that said there has been some unconfirmed chatter that noted value investor Bruce Berkowitz -- who already owns a substantial position in St. Joe along with other embattled financials including AIG
Now what: Normally, I'm not keen on chasing stocks based on buyout rumors. When the rumors are this flimsy though, I'm even less inclined to get interested. Taking a step back from today's rumors, St. Joe is still a very tricky battleground, pitting the savvy Berkowitz against the sharp and tenacious David Einhorn. The market has thus far paid heed to Einhorn's warnings and the stock has taken a drubbing, but the final chapter is far from written here.
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