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 health-care company Centene
So what: Barclays Capital analyst Joshua Raskin upgraded the company from underweight to overweight, showing a big change of heart. Raskin thinks a favorable environment in Medicaid will give the company a boost, so he put a $32 price target on shares.
Now what: The classic analyst bump hit Centene, but after the spike, the stock has settled lower, up just 6% for the day right now. With a price-to-earnings ratio of 14.5, Centene is providing a good value, but investors may want to wait for today's bump to fade before jumping in. I'll give the stock a day or two to settle down, instead of buying on a day when an analyst is moving the stock.
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