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 chip designer Standard Microsystems
So what: The company reported earnings this morning, which beat expectations senseless. A highly dilutive buyout of smaller chip wrangler Conexant Systems
Now what: Conexant seems stuck in the 1990s with fax modem chips and low-cost audio solutions. Why Standard Microsystems wants to buy this increasingly obsolete mess is beyond me. If the high-quality earnings report hadn't saved the day, today's drop could have -- should have -- been a lot steeper.
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